Peter Hogan's questions to Golden Ocean Group (GOGL) leadership • Q1 2025
Question
Peter Hogan inquired about the timeline for the contemplated merger with CMB Tech and the market's pricing discount to the agreed exchange ratio. He also asked about near-term market catalysts prior to the Simandou project and the disconnect between strong asset prices and current freight rates.
Answer
CEO and CFO Peder Carl Simonsen stated that it is difficult to be more specific on the merger timeline. Regarding the share price discount, he suggested it could relate to stock liquidity. Simonsen noted recent market sentiment was impacted by temporary disruptions in Guinea and Peru but remains positive for the second half, with volumes expected to pick up seasonally. He affirmed that strong asset values are supported by long-term fundamentals like the Simandou project, a constrained order book, and limited shipyard capacity, which he expects will eventually support the freight market.