August 23, 2019 / 6:43 AM / 23 days ago

BRIEF-Frontline To Acquire A Fleet Of Suezmax Tankers From Trafigura

Aug 23 (Reuters) - Frontline Ltd:

* REG-FRO - FRONTLINE TO ACQUIRE A FLEET OF SUEZMAX TANKERS FROM TRAFIGURA

* REG-FRO - FRONTLINE TO ACQUIRE A FLEET OF SUEZMAX TANKERS FROM TRAFIGURA

* FRONTLINE TO ACQUIRE TEN KOREAN 2019-BUILT SUEZMAX TANKERS ALL FITTED WITH EXHAUST GAS CLEANING SYSTEMS

* TRANSACTION CONSIDERATION TO CONSIST OF 16,035,856 ORDINARY SHARES OF FRONTLINE AT AN AGREED PRICE OF USD 8.00 PER SHARE ISSUABLE UPON SIGNING; AND A CASH AMOUNT RANGING FROM USD 538 TO 547 MILLION, PAYABLE UPON CLOSING OF ACQUISITION

* CLOSING OF ACQUISITION IS TARGETED AS SOON AS PRACTICALLY POSSIBLE WITH NOVEMBER 15, 2019 BEING EARLIEST AND MARCH 15, 2020 BEING LATEST EXPECTED DATE

* TO OBTAIN EARLIER EXPOSURE TO VESSELS, FRONTLINE HAS AGREED TO TIME CHARTER ALL TEN VESSELS FROM TRAFIGURA UNTIL CLOSING OF ACQUISITION AT A DAILY RATE OF APPROXIMATELY USD 23,000

* FRONTLINE HAS ALSO AGREED TO CHARTER FIVE OF THESE VESSELS BACK TO TRAFIGURA ON THREE-YEAR TIME CHARTERS AT A DAILY BASE RATE OF USD 28,400 WITH A 50% PROFIT SHARE ABOVE BASE RATE Source text for Eikon: Further company coverage: (Gdynia Newsroom)

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