Epic Gas Completes Merger with Lauritzen Kosan

Pressurized gas carrier operator Epic Gas has acquired a new name through a merger with Lauritzen Kosan. The transaction was announced in December and completed on March 11, and the combined entity - named BW Epic Kosan - has a market-leading fleet of 76 LPG / ethylene vessels. 

The all-stock deal sees Lauritzen Kosan receiving 35 million new shares in the combined company. Another 11 million new shares will be issued to a JV which is half-owned by Lauritzen Kosan. Altogether, the transaction will give Lauritzen Kosan a combined share of about 26 percent in the new firm.

Epic Gas' parent company BW Group will be the majority shareholder, with a stake of about 58 percent. The merger strengthens BW Group's hold on the LPG carrier market, building on the dominant position of its BW LPG subsidiary. 

The closing also included a full refinancing of the Lauritzen Kosan fleet with participation from SEB, Danske Bank, Nordea, Danish Ship Finance and Crédit Agricole CIB. 

BW Epic Kosan will be headquartered in Singapore, with Copenhagen as a regional office. Epic Gas CEO Charles Maltby will continue as the head of the combined company, and Lauritzen Kosan CEO Thomas Woidemann will lead the commercial organization. 

"With a large and modern fleet spanning LPG and other petrochemical gases, BW Epic Kosan will be well positioned to deliver value for customers, while meeting IMO objectives for decarbonisation," said Lauritizen Foundation CEO Tommy Thomsen in a statement.