Shipping magnate John Fredriksen will bide his time investing his newly raised $1 billion in the commodity shipping sector and wants to be in position for market recovery in 2014 or 2015, his top aide told Reuters on Thursday.
Fredriksen, known as "Big Wolf", cut his stake in Seadrill the world's biggest drilling firm by market value, to 23 percent from 28 percent, raising cash to invest in the distressed shipping sectors.
"John wants to have large liquidity to expand in commodity shipping but it won't be tomorrow or next month," Tor Olav Troeim said in a brief interview. "He is looking further out and expects markets to improve in 2014 or 2015."
"If you want to get newbuilds in 2015, you have to order them and make down payments in 2012-13," he said.
Troeim said the Seadrill share sale cannot be considered final until the end of June as buyers have the option to sell the shares back and would likely do so if the price is below 235 crowns.
"However, the company is performing well, the deepwater drilling market is strong and hopefully this will be reflected in the shareprice going forward," he said.
Seadrill shares were down 2.9 percent at 225 crowns at 1228 GMT.
Close to $800 million worth of shares were picked up by long-term investors and about $200 million went to hedge funds with total demand close to $4 billion, a source close to the transaction said.
Fredriksen, known as "Big Wolf", cut his stake in Seadrill the world's biggest drilling firm by market value, to 23 percent from 28 percent, raising cash to invest in the distressed shipping sectors.
"John wants to have large liquidity to expand in commodity shipping but it won't be tomorrow or next month," Tor Olav Troeim said in a brief interview. "He is looking further out and expects markets to improve in 2014 or 2015."
"If you want to get newbuilds in 2015, you have to order them and make down payments in 2012-13," he said.
Troeim said the Seadrill share sale cannot be considered final until the end of June as buyers have the option to sell the shares back and would likely do so if the price is below 235 crowns.
"However, the company is performing well, the deepwater drilling market is strong and hopefully this will be reflected in the shareprice going forward," he said.
Seadrill shares were down 2.9 percent at 225 crowns at 1228 GMT.
Close to $800 million worth of shares were picked up by long-term investors and about $200 million went to hedge funds with total demand close to $4 billion, a source close to the transaction said.