Nordax Bank AB (publ) announced today that it had started the voluntary offer period for its proposed NOK 105 per share cash offer to acquire the entire outstanding share capital in Bank Norwegian ASA, which completed a reverse parent-subsidiary merger with Norwegian Finans Holding ASA on 20 Jul. 2021. The offer comes after a recommendation to accept by Bank Norwegian's board. The offer period expires 6 Sep. 2021, with the potential to extend to 15 Oct. 2021.
Nordic Credit Rating assigned a 'BBB' long-term issuer rating to Nordax on 29 Jun. 2021. The outlook on the rating is stable, and reflects the ongoing attempt to acquire Bank Norwegian. The prospective transaction would create the most diverse niche bank in the Nordic market and expand the combined entity's geographic and product footprint. However, ownership details and capital projections are unclear at present and a recent deterioration in Bank Norwegian's asset quality metrics could offset improvements in product and geographic diversification for the combined bank.
We will continue to monitor the transaction as details emerge.
This commentary does not constitute a rating action.
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