Euronav filed an application request for arbitration on the merits in relation to Frontline’s termination of the combination agreement
On 28 January 2023 Euronav NV has filed an application request for arbitration on the merits in relation to Frontline’s unilateral action in pursuing the termination of the combination agreement of July 10, 2022, according to the company's release.
This request on the merits follows the request for emergency arbitration that was announced by the Company’s press release dated 17 January. A judgment in the pending emergency arbitration proceedings is expected on 7 February 2023.
Following recent acquisitions of additional shares by Famatown Finance Limited (as disclosed on Euronav’s website), Frontline plc, Famatown Finance Limited, Hemen Holding Limited and Geveran Trading Co. Limited. could be qualified as a related party in the meaning of IAS24.
As a precautionary measure the Supervisory Board has therefore taken the decision in relation to the filing of the request for arbitration on the merits against Frontline plc, Famatown Finance Limited, Hemen Holding Limited and Geveran Trading Co. Limited in accordance with the procedure provided for in article 7:116 of the Belgian Code of Companies and Associations.
Euronav has assessed that Frontline’s unilateral action in pursuing the termination of the combination agreement has no basis under the terms of the combination agreement and that Frontline failed to provide a satisfactory reason for its decision to pursue termination. After careful consideration, the Supervisory Board, entirely composed of independent directors, has considered that this decision is in the corporate benefit of Euronav.
Euronav is an independent tanker company engaged in the ocean transportation and storage of crude oil. The company is headquartered in Antwerp, Belgium, and has offices throughout Europe and Asia. Euronav is listed on Euronext Brussels and on the NYSE under the symbol EURN. Euronav employs its fleet both on the spot and period market. VLCCs on the spot market are traded in the Tankers International pool of which Euronav is one of the major partners. Euronav’s owned and operated fleet consists of 1 V-Plus vessel, 40 VLCCs (with further two under construction), 22 Suezmaxes (with a further five under construction) and 2 FSO vessels under long term contract.
