Public Offering Fetches $47.7mln for Nordic American

Photo: Nordic American Offshore

By Aiswarya Lakshmi

Nordic American Offshore (NAO) has closed the
follow-on offering of 40,000,000 common shares at a public
offering price of $1.25 per share resulting in aggregate net
proceeds of approximately $47.7 million.

The proceeds could be slightly in excess of $50 million, provided
the over-allotment option is wholly or partly exercised (maximum
about $7 million). Following the offering, the Company has
60,686,847 common shares outstanding as against 20,686,847 shares
before the offering.

NAO Executive Chairman, Herbjorn Hansson said: ""Going forward,
this successful offering has as an objective to continue the
growth process of NAO of top modern PSVs, servicing the oil
industry, above all in the UK and Norwegian sector of the North
Sea. As NAO increases its fleet, we may expand into other
geographical areas internationally - the potential is

Hansson added: "The undersigned and Nordic American Tankers
(NAT), plus senior executives of the Nordic American group have
subscribed shares in this offering. Our objective is that NAO
shall become the same success as the NYSE listed Nordic American
Tankers, servicing customers and shareholders. My belief in NAO
is evidenced by the fact that my family and I have invested $2
million in the offering. Furthermore, NAT, our largest
shareholder invested $10 million. We are very pleased with this
offering transaction."

Morgan Stanley & Co. LLC, DNB Markets, Inc. and Skandinaviska
Enskilda Banken AB (publ) acted as the joint bookrunning managers
of the offering.

The Company is an international company formed for the purpose of
acquiring, owning and operating platform supply vessels, or PSVs,
and currently owns ten high quality PSVs constructed at shipyards
in Norway during the period from 2012 to 2016.

Mar 3, 2017

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