#Norway #Oslo #Aker Horizons #Aker Carbon Capture #Aker ASA

Aker ASA Announces Major Transactions with Aker Horizons and Aker Carbon Capture

Aker ASA, a leading player in the energy and industrial sectors, has recently made headlines with its announcement regarding significant transactions involving its subsidiaries, Aker Horizons ASA (AKH) and Aker Carbon Capture ASA (ACC). This strategic move aims to enhance the operational efficiency and financial structure of the Aker group following a thorough review of its refinancing alternatives.

Overview of Transactions

The independent transactions result from an extensive examination of refinancing options for Aker Horizons. The principal aim is to simplify and consolidate Aker ASA's ownership structure. Here’s a brief overview of the core components of the transactions:

Aker Horizons ASA (AKH)

• - Merger with Aker ASA: Aker Horizons Holding will merge with a subsidiary of Aker ASA. As part of this merger, AKH shareholders—excluding Aker Capital, an Aker ASA subsidiary—will receive 0.001898 shares in Aker ASA and NOK 0.267963 in cash for each share owned in AKH, subject to rounding. This exchange rate is determined based on the 30-day volume-weighted average share price for both companies.
• - Company Assets: The merger encompasses all business activities within Aker Horizons, including its stake in Aker Carbon Capture, investments in Mainstream Renewable Power, and properties in Narvik.
• - Green Bond Redemption: Aker Horizons' NOK 2.5 billion green bond will be redeemed ahead of its original maturity date of August 15, 2025, utilizing current cash reserves. This step is expected to cut down on cash interest expenditures that would have accrued up to the bond's maturity.
• - Convertible Bond Offer: Bondholders of the NOK 1.6 billion convertible bond are being offered redemption at 93% of the par value, with Aker Capital retaining NOK 1.3 billion of this debt.

Aker Carbon Capture (ACC)

• - Acquisition of Ownership Interest: Aker Capital plans to acquire a 20% stake in SLB Capturi AS for a cash consideration of NOK 635 million. Additionally, it will assume guarantee commitments to cover ACC's parent company guarantees and obligations towards SLB concerning the partnership.
• - Increased Reserves for Shareholders: These strategic agreements will boost the distributable reserves within ACC, ensuring that shareholders see significant liquidity following the sale of the ownership interest in SLB Capturi. The ACC Board of Directors is also planning to propose a dividend payment of approximately NOK 1.7 billion upon completion of the sale.

Conclusion and Next Steps

Both the AKH and ACC boards believe that the transactions are in the best commercial interests of their respective companies and shareholders. However, the final approval of certain aspects of these transactions is contingent upon the results of extraordinary general meetings for both AKH and ACC.

This strategic alignment not only amplifies Aker’s operational capacity but positions it favorably in the evolving landscape of energy solutions and carbon capture technology. As these transactions unfold, stakeholders are keenly watching Aker ASA’s next steps, which could redefine its market positioning.

For further inquiries, stakeholders can contact Svein Oskar Stoknes, Chief Financial Officer of Aker ASA, or Atle Kigen, Head of Media Relations and Public Affairs at Aker ASA. The full announcement and further details are available on the official websites of Aker Horizons and Aker Carbon Capture.