Norwegian seismic giant TGS is set to acquire its rival Spectrum. The deal would, TGS says, create a leading provider of 2D and 3D seismic data.
The two companies have agreed on the terms of the transaction which is s expected to be completed as a statutory merger pursuant to Norwegian corporate law between TGS and Spectrum.
The shareholders of Spectrum will receive o,28 shares of TGS per one (1) share in Spectrum (0,28 exchange ratio), corresponding to 7 TGS shares per 25 Spectrum shares, meaning that the shareholders of Spectrum upon completion of the transaction will receive a total of 16.6 million shares in TGS, representing 13.9% of all issued shares in TGS immediately following completion of the transaction. Fractional consideration shares will be settled in cash.