Navigator Enters LoI With Ultranav To Merge Ultragas ApS' Fleet

(RTTNews) - Navigator Holdings Ltd. (NVGS) has signed a non-binding Letter of Intent with Naviera Ultranav Limitada to merge Ultragas ApS' fleet and business activities with Navigator. Navigator would issue approximately 21.2 million new shares of its common stock to Ultranav, and assume Ultragas' net debt of approximately $197 million, as well as its net working capital. The combined entity would have an aggregate net asset value of approximately $1.3 billion.

After giving effect to the proposed issuance of common shares, Navigator is expected to have a total of approximately 77.1 million shares of common stock outstanding, of which Ultranav would own approximately 27.5% and BW Group would own approximately 28.4%.

Navigator expects the transaction to be accretive compared to standalone budgets, in terms of anticipated revenue, EBITDA and EPS. The combined fleet would total 56 vessels.