Norway: Höegh Raises Funds, Orders Third FSRU

Norwegian Höegh LNG has said that the company has raised about NOK 1.2 billion (approximately €152 million) through a private placement of shares, while also exercising an option for a new FRSU in North Korea.

The funding was raised through a private placement of 22,641,509 shares. The funds raised will go towards expansion of the company, with new floating regasificastion and storage units (FRSUs) planned.

"With our two FSRUs on order allocated to specific projects in Indonesia and Lithuania, the company continues focusing its growth plans at the floating regasification market, and is currently participating in several tender processes for additional FSRU projects," President and CEO of Höegh Sveinung Støhle said.

"We have therefore decided to place an order for a third FSRU to be built at Hyundai. Our strategy to expand in the floating regasification market worldwide remains firm and we believe in strong continued growth in this segment."

Mr. Støhle said the successful funding round would further strengthen the company's already strong position in the LNG market.

"We are very pleased to have concluded this fundraising supporting Höegh LNG’s growth strategy," he said. "The support from existing shareholders and the interest from new institutional investors have provided us with a broader shareholder base, increased free float and a stronger financial position.

"This further strengthens our capital base and improves our position in the very favourable and growing LNG industry, and confirms our unique position as one of the three leading companies within the floating LNG regasification segment."