By Dominic Chopping
Aker Carbon Capture plans to sell its 20% stake in the joint venture it formed with Schlumberger before proposing its own liquidation, with all proceeds distributed to shareholders.
The company last year agreed to a deal that saw the U.S. oilfield-services company acquire 80% of Aker Carbon Capture, creating a combined carbon-capture-focused venture called SLB Capturi.
Aker Carbon Capture received 4.12 billion Norwegian kroner ($395.1 million) in cash and a 20% stake in the combined venture. It later distributed around 3.5 billion kroner to shareholders.
As part of the deal announced Friday, the company said it agreed to sell its stake in SLB to investment firm Aker for 635 million kroner in cash, with the deal also including commitments to cover guarantees and liabilities toward SLB. It said agreement implies a transaction value for Aker Carbon Capture of 3.03 kroner a share, which represents a premium of 15% to Thursday's closing price.
Following completion, the Aker Carbon Capture board will propose a dividend to shareholders of around 1.7 billion kroner, equaling 2.86 kroner a share, comprised of around 1.1 billion kroner in existing cash and the 635 million kroner in proceeds from the sale to Aker.
Karl Erik Kjelstad, Chairman of Aker Carbon Capture, said the deal grants shareholders early access to capital and delivers value amid a period of pronounced market volatility.
"Following a thorough strategic review, we are confident that this represents the best path to timely value realization for our shareholders."
An extraordinary general meeting is expected to be called for Thursday to approve the deal, with closing and dividend payment expected by the end of the third quarter 2025.
Following completion of the sale and dividend payment, the board will propose that the company be liquidated, with any remaining cash distributed to shareholders. An extraordinary general meeting to consider the liquidation is expected to be called this year.
Separately, Aker said it has offered to buy Aker Horizons--an investor in renewable energy and other emissions-reducing technologies--with shareholders offered 0.001898 shares in Aker and 0.267963 kroner in cash for each share.
Write to Dominic Chopping at dominic.chopping@wsj.com
(END) Dow Jones Newswires
May 09, 2025 02:16 ET (06:16 GMT)
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