A $10.9bn deal to take containership tonnage provider Seaspan’s parent company Atlas Corp private by Poseidon Acquisition Corp, which includes Ocean Network Express (ONE), has been agreed.
Poseidon will acquire all shares not owned by its shareholders in Atlas for $15.50 per share in an all-cash transaction. Poseidon comprises affiliates of Fairfax International and the Washington Family, David Sokol, chairman of Atlas, and ONE. Fairfax, the Washington Family and Sokol currently own 68% of the shares in Atlas.
The offer price represents a premium of 34% to Atlas’ share price on 4 August, the last trading day prior to the announcement of the acquisition proposal by Poseidon.
“We are pleased to have reached this agreement which, through the combination with Poseidon, introduces Atlas to an important corporate sponsor in the form of ONE,” said Nicholas Pitts-Tucker, Chair of the Special Committee of the Board of Atlas (“Special Committee”). “The agreement also provides Atlas’ minority shareholders with a certain cash outcome due to be paid on closing, subject to the approval of a majority of the minority shareholders.”
Bing Chen, President and CEO Atlas Corp, commented, “As we look at the industry’s trajectory, we believe the financial, operational and strategic flexibility we will gain as a privately held company with this group of owners and investors will position Atlas, our employees and customers for greater opportunity.
As of the end of the third quarter Seaspan had a fleet of 129 containerships under lease, with a further three vessels to be delivered this year. It has a further 58 containerships due for delivery by 2024. The company names 17 charterers on its website including all the six largest container lines in the world – Maersk, MSC, CMA CGM, Cosco, Hapag-Lloyd, and ONE.
Atlas reported net earnings of $185.7m in Q3 and revenues were down 2.7% at $439.6m compared to the same quarter in 2021.
