Crown LNG Announces Execution of Final Agreements to Acquire Kakinada and Grangemouth LNG Import Terminal Assets
Crown LNG Holdings (Nasdaq: CGBS) has finalized two strategic acquisitions: KGLNG in Kakinada, India, and LNG import terminal assets in Grangemouth, Scotland. The Kakinada project acquisition, valued at $60 million in Crown LNG shares, includes an operating license for a planned LNG import terminal that will operate year-round in harsh weather conditions, supporting India's goal to increase natural gas usage to 15% by 2030. The Grangemouth project, acquired for $25 million in shares from GBTron Lands , aims to enhance UK's energy security, where LNG imports increased 74% from 2021 to 2022.
Crown LNG Holdings (Nasdaq: CGBS) ha finalizzato due acquisizioni strategiche: KGLNG a Kakinada, India, e beni di un terminal per importazione di LNG a Grangemouth, Scozia. L'acquisizione del progetto di Kakinada, valutato $60 milioni in azioni di Crown LNG, include una licenza operativa per un terminal di importazione di LNG pianificato che funzionerà tutto l'anno in condizioni meteorologiche avverse, sostenendo l'obiettivo dell'India di aumentare l'uso del gas naturale al 15% entro il 2030. Il progetto di Grangemouth, acquisito per $25 milioni in azioni da GBTron Lands, mira a migliorare la sicurezza energetica del Regno Unito, dove le importazioni di LNG sono aumentate del 74% dal 2021 al 2022.
Crown LNG Holdings (Nasdaq: CGBS) ha finalizado dos adquisiciones estratégicas: KGLNG en Kakinada, India, y activos de terminal de importación de LNG en Grangemouth, Escocia. La adquisición del proyecto de Kakinada, valorada en 60 millones de dólares en acciones de Crown LNG, incluye una licencia operativa para un terminal de importación de LNG planeado que funcionará durante todo el año en condiciones climáticas adversas, apoyando el objetivo de la India de aumentar el uso de gas natural al 15% para 2030. El proyecto de Grangemouth, adquirido por 25 millones de dólares en acciones de GBTron Lands, tiene como objetivo mejorar la seguridad energética del Reino Unido, donde las importaciones de LNG aumentaron un 74% de 2021 a 2022.
Crown LNG Holdings (Nasdaq: CGBS)는 두 가지 전략적 인수, 즉 인도 카키나다의 KGLNG와 스코틀랜드 그랜지모스의 LNG 수입 터미널 자산을 마무리했습니다. 카키나다 프로젝트 인수는 Crown LNG 주식으로 6천만 달러에 가치가 있으며, 한 해 내내 악천후에서 운영되는 LNG 수입 터미널을 위한 운영 라이센스를 포함하고 있으며, 이는 인도에서 2030년까지 자연가스 사용량을 15%로 늘리려는 목표를 지원합니다. 그랜지모스 프로젝트는 GBTron Lands에서 2천5백만 달러에 주식을 통해 인수되었으며, 이는 영국의 에너지 안보를 강화하는 것을 목표로 하고 있으며, 2021년에서 2022년까지 LNG 수입이 74% 증가했습니다.
Crown LNG Holdings (Nasdaq: CGBS) a finalisé deux acquisitions stratégiques : KGLNG à Kakinada, en Inde, et des actifs d'un terminal d'importation de LNG à Grangemouth, en Écosse. L'acquisition du projet de Kakinada, évaluée à 60 millions de dollars en actions de Crown LNG, comprend une licence d'exploitation pour un terminal d'importation de LNG prévu pour fonctionner toute l'année dans des conditions météorologiques difficiles, soutenant l'objectif de l'Inde d'augmenter l'utilisation du gaz naturel à 15 % d'ici 2030. Le projet de Grangemouth, acquis pour 25 millions de dollars en actions de GBTron Lands, vise à renforcer la sécurité énergétique du Royaume-Uni, où les importations de LNG ont augmenté de 74 % entre 2021 et 2022.
Crown LNG Holdings (Nasdaq: CGBS) hat zwei strategische Übernahmen abgeschlossen: KGLNG in Kakinada, Indien, und LNG-Importterminal-Assets in Grangemouth, Schottland. Die Übernahme des Kakinada-Projekts, das auf 60 Millionen Dollar in Crown LNG-Aktien geschätzt wird, umfasst eine Betriebslizenz für ein geplantes LNG-Importterminal, das das ganze Jahr über unter schwierigen Wetterbedingungen betrieben wird und Indiens Ziel unterstützt, den Erdgasverbrauch bis 2030 auf 15% zu steigern. Das Grangemouth-Projekt, das für 25 Millionen Dollar in Aktien von GBTron Lands erworben wurde, zielt darauf ab, die Energiesicherheit des Vereinigten Königreichs zu verbessern, wo die LNG-Importe von 2021 bis 2022 um 74% gestiegen sind.
- Acquisition of two strategic LNG terminal assets expanding global presence
- Kakinada terminal licensed for 365-day operation in harsh weather conditions
- Strategic positioning in India's growing natural gas market
- Entry into UK market where LNG imports grew 74% YoY
- 100% share-based acquisitions totaling $85 million may cause significant dilution
- Both projects are still in planning phase with no operational revenue
Insights
The execution of two strategic acquisitions worth a combined
The Kakinada terminal's unique 365-day operating license addresses a critical infrastructure gap in India's eastern coast, supporting the nation's ambitious goal to increase natural gas in its energy mix to
Both acquisitions are structured as all-stock transactions, preserving cash while expanding Crown's asset base. However, investors should note that this will result in share dilution. The success of these projects will depend on Crown's execution capability and the broader LNG market dynamics in both regions.
LONDON, Nov. 01, 2024 (GLOBE NEWSWIRE) -- Crown LNG Holdings Limited (Nasdaq: CGBS) (“Crown” or “Crown LNG”), a leading provider of LNG liquefaction and regasification terminal technologies for harsh weather locations, today announced the conclusion of two strategic acquisition agreements forming the basis of Crown LNG's entry into the global LNG infrastructure network: KGLNG and Grangemouth. The KGLNG agreement finalizes the acquisition of all shares of KGLNG, which owns the operating license for the Company’s planned LNG import terminal in Kakinada, India. The Grangemouth agreement finalizes the acquisition of LNG import terminal assets in Grangemouth, Scotland from GBTron Lands Limited.
The Kakinada project, located on the East coast of India, is licensed to operate 365 days a year, a first for the harsh weather prone area. Imported gas from the planned terminal would reach demand centers via the East-West Pipeline, helping to support the Indian government’s drive to more than double the share of natural gas in the country’s energy mix to
Total consideration for the KGLNG acquisition will be made in shares of Crown LNG equal to
The Grangemouth project, located on the East coast of Scotland, seeks to support the UK’s increasing drive for energy security post-Brexit and in the context of geopolitical impacts on energy markets. Currently, the UK relies on just three facilities for all of the country’s LNG imports, which increased
Total consideration for the GBTron acquisition will be made in shares of Crown LNG equal to
“We are excited and proud to announce the execution of these two transactions and move these two projects down the path,” said Swapan Kataria, Chief Executive Officer of Crown LNG. “With Crown LNG and our subsidiaries now firmly in control of the Kakinada and Grangemouth projects, we look forward to driving the success of these two transformative projects for both India and the UK.”
Crown remains dedicated to delivering exceptional LNG liquefaction and regasification terminal infrastructure solutions services that cater to the evolving needs of the under-served markets across the globe. As we focus on expanding our operations in Europe and South Asia, we continue to forge strategic partnerships and explore new opportunities to provide efficient and reliable solutions.
About Crown LNG Holdings Limited
Crown LNG is a leading provider of offshore LNG liquefaction and regasification terminal infrastructure solutions for harsh weather locations, which represent a significant addressable market for bottom-fixed, gravity based (“GBS”) liquefaction and floating storage regasification units, as well as associated green and blue hydrogen, ammonia and power projects. Through this approach, Crown aims to provide lower carbon sources of energy securely to under-served markets across the globe. Visit www.crownlng.com/investors for more information.
Forward-Looking Information and Statements
Certain statements in this announcement are not historical facts but are forward-looking statements. Forward-looking statements generally are accompanied by words such as “believe,” “may,” “could,” “will,” “estimate,” “continue,” “anticipate,” “intend,” “expect,” “plan,” “should,” “would,” “plan,” “future,” “outlook,” “potential,” “project” and similar expressions that predict or indicate future events or trends or that are not statements of historical matters, but the absence of these words does not mean that a statement is not forward-looking. These forward-looking statements include, but are not limited to, statements regarding estimates and forecasts of other performance metrics and projections of market opportunity. They involve known and unknown risks and uncertainties and are based on various assumptions, whether or not identified in this press release and on current expectations of Crown’s management and are not predictions of actual performance. These forward-looking statements are provided for illustrative purposes only and are not intended to serve as and must not be relied on by any investor as, a guarantee, an assurance, a prediction or a definitive statement of fact or probability. Actual events and circumstances are difficult or impossible to predict and will differ from assumptions. Many actual events and circumstances are beyond the control of Crown. Some important factors that could cause actual results to differ materially from those in any forward-looking statements could include changes in domestic and foreign business, market, financial, political and legal conditions. The Company undertakes no obligation to update or revise publicly any forward-looking statements to reflect subsequent occurring events or circumstances, or changes in its expectations, except as may be required by law. Although the Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that such expectations will turn out to be correct, and the Company cautions investors that actual results may differ materially from the anticipated results and encourages investors to review other factors that may affect its future results in the Company’s registration statement and other filings with the SEC.
Crown LNG Holdings Limited Contacts
Investors
Caldwell Bailey
ICR, Inc.
CrownLNGIR@icrinc.com
Media
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ICR, Inc.
CrownLNGPR@icrinc.com
FAQ
What are the two LNG terminals acquired by Crown LNG (CGBS)?
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