Akastor to Cut HMH Stake as Drilling Equipment Affiliate Launches Nasdaq IPO

Akastor ASA ( (AKKVF) ) has provided an update.

Akastor ASA’s indirect 50% owned affiliate HMH Holding Inc. has launched an initial public offering of 10,520,000 Class A shares on the Nasdaq Global Select Market, targeting a price range of USD 19 to USD 22 per share out of a total 44,000,000 shares. The listing under the ticker HMH is backed by a syndicate of major banks, including J.P. Morgan, Piper Sandler and Evercore ISI as joint lead bookrunners.

A portion of the IPO proceeds is expected to be used by HMH to repay all outstanding shareholder loans, with about USD 27 million net expected to be paid to Akastor, while Akastor will also exchange part of its stake for roughly USD 20.2 million in cash at the midpoint of the price range. Depending on whether underwriters exercise their overallotment option, Akastor’s interest in HMH is expected to fall to between 37% and 35%, providing the Norwegian investment group with additional liquidity while retaining a significant strategic holding, though its shares in HMH will be subject to a 180-day lock-up and completion of the IPO remains contingent on customary closing conditions.

More about Akastor ASA

Akastor ASA is a Norway-based oil-services investment company with a portfolio of industrial holdings and other investments, operating with a flexible mandate for active ownership and long-term value creation. Its key affiliate HMH Holding Inc. is a leading provider of highly engineered, mission-critical drilling equipment, services and systems for offshore and onshore oil and gas operations, and is expanding into adjacent sectors such as mining.

YTD Price Performance: 35.25%

Average Trading Volume: 312,923

Current Market Cap: NOK3.96B

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