Paratus Energy Services Ltd Successfully Completes Sale
Paratus Energy Services Ltd has finalized the secondary sale of its common shares in Archer Limited, marking a significant milestone in the company’s investment strategy. This decision came as part of a broader strategy to streamline operations and enhance financial flexibility.
Details of the Transaction
In the recently completed secondary sale, Paratus Energy sold a total of 21,583,826 existing common shares of Archer at a price of NOK 22.50 per share. This transaction is expected to generate approximately USD 49 million in gross proceeds.
Shareholding Transition and Future Outlook
With this sale, Paratus Energy will no longer hold any shares in Archer Limited, transitioning their investment to a more direct organizational structure. The company's two largest shareholders will now hold their investments directly, promoting stability and consistency in Archer's future operations.
Strategic Priorities
Paratus Energy's CEO, Robert Jensen, emphasized the importance of refining their portfolio and simplifying their corporate structure. He stated, "This transaction represents a timely opportunity to monetize a non-core investment, further enhancing our strategic and financial flexibility. We are focused on positioning the company for long-term value creation."
Debt Management Strategy
The net proceeds from the secondary sale exceeding USD 30 million will be allocated towards the partial redemption of Paratus' outstanding debt. This step aligns with the agreements for the company’s outstanding notes and bonds, ensuring a more robust financial foundation.
About Paratus Energy Services Ltd
Paratus Energy Services Ltd (ticker PLSV) is an investment holding company that oversees a group of energy services ventures. The Paratus Group comprises ownership of Fontis Energy, an offshore drilling operator with a sophisticated fleet, alongside a joint venture interest in Seagems, a prominent subsea services provider.
Company Contact Information
For more information about Paratus Energy Services and the latest developments, you can reach out to:
Robert Jensen, CEO
Email: robert.Jensen@paratus-energy.com
Phone: +47 958 26 729
Baton Haxhimehmedi, CFO
Email: baton.Haxhimehmedi@paratus-energy.com
Phone: +47 406 39 083
Frequently Asked Questions
What was the purpose of the secondary sale?
The secondary sale aimed to streamline Paratus Energy's investment portfolio and enhance its financial flexibility while transitioning capital for future growth.
How many shares did Paratus sell in the transaction?
Paratus Energy sold 21,583,826 shares of Archer Limited in the secondary sale.
What is the expected gross profit from the sale?
The gross proceeds from the sale are expected to total approximately USD 49 million.
Will Paratus Energy continue investing in Archer Limited?
No, following the completion of the secondary sale, Paratus Energy will not hold any shares in Archer Limited.
What will Paratus do with the proceeds from the sale?
Proceeds exceeding USD 30 million will be used for the mandatory partial redemption of Paratus' outstanding debt, strengthening its financial position.
