Dockwise Seeks Fairstar Management Suspension (The Netherlands)

Dockwise, a Breda based heavy-lift /marine transportation company, on Friday announced it had requested the Enterprise Chamber of the Amsterdam Appellate Court to schedule a date to hear a request for the immediate suspension of the management of Fairstar Heavy Transport N.V.

The company, which has in the past months acquired 95% of the shares of the Rotterdam based heavy-lift rival Fairstar, said that the move was needed to protect the interests of the Fairstar – Dockwise combination and involved stakeholders.

Fairstar on Thursday announced it planned to raise USD 334 million through a private placement in order to re-finance the Company’s current one-year facility with ING Bank as well as provide Fairstar with all of the liquidity it requires to meet its current liabilities.

Dockwise on Friday said that it would not approve the bond issue, claiming that the Fairstar management was acting contrary to the interest of Fairstar, the Fairstar – Dockwise combination and its shareholders and stakeholders.

“The intended bond issue appears value destructive and not the right financing option for Fairstar,“ said Dockwise in a press release.

Also, in its Thursday’s press release, Fairstar said it would apply USD 20 million to fund the second instalment of the 48,000DWT semi-submersible vessel FATHOM, the fifth vessel in its fleet, scheduled to be delivered next year.

Dockwise responded: “Fairstar management further taking steps to build the fifth vessel without any discussion and reassessment in the context of the combination of the two companies is unacceptable.”

The company also accused Fairstar chiefs of withholding information on “contracts, fleet completion and financing arrangements and other relevant matters.”

Dockwise has been trying to fully takeover Fairstar, and to do that, the company now needs to acquire the remaining 5% shares held by the Fairstar management, which has been opposing the takeover efforts from the start, describing Dockwise’s tactics as “hostile and dirty” .

The Enterprise Chamber court hearing in Amsterdam  is now set at 26 July 2012.

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Offshore Energy Today Staff, July 15, 2012