Havila Kystruten AS

Share Issue/Capital Change • Jul 18, 2023

Havila Kystruten AS: Successful Completion of Private Placement

Havila Kystruten AS: Successful Completion of Private Placement

NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART DIRECTLY OR

INDIRECTLY, IN AUSTRALIA, CANADA, JAPAN, HONG KONG OR THE UNITED STATES OR ANY

OTHER JURISDICTION IN WHICH THE RELEASE, PUBLICATION OR DISTRIBUTION WOULD BE

UNLAWFUL. THIS ANNOUNCEMENT DOES NOT CONSTITUTE AN OFFER OF ANY OF THE

SECURITIES DESCRIBED HEREIN.

Reference is made to the stock exchange announcement earlier today regarding

Havila Kystruten AS' (the "Company" and, together with its subsidiaries, the

"Group") update on the Company's refinancing plan and the contemplated private

placement of new shares (the "Private Placement").

Following close of the bookbuilding period for the Private Placement, the

Company is pleased to announce that the Private Placement has been successfully

completed and that its Board of Directors (the "Board") has allocated a total of

758,703,962 new shares (the "New Shares") at a subscription price per share of

NOK 1.00 (the "Offer Price"), raising NOK 758,7 million (approx. EUR 65 million)

in gross proceeds. The placement was oversubscribed by existing shareholders and

new investors. The proceeds from the Private Placement will be used to repay

certain credit issued by the Tersan yard, making payment of delivery instalments

to Tersan, as well as to cover operational expenses and transactional costs.

Completion of the Private Placement by delivery of New Shares to the investors

being allocated the New Shares is subject to the completion of the issuance by

Havila Kystruten Operations AS of a bond loan facility of EUR 305 million (the

"Bond Issue"), the provision of an unsecured loan facility by Havila Holding AS

to the Company of EUR 20 million (the "Unsecured Loan"), and necessary corporate

resolutions, including the approval of issuance of the New Shares by the

extraordinary general meeting of the Company (the "EGM") to be held on 20 July

Following the EGM, the Managers will pre-pay the total subscription amount in

the Private Placement (being the number of New Shares allocated to investors

other than Havila Holding AS, and certain other investors, multiplied by the

Offer Price) in order to facilitate delivery-vs-payment settlement; however, the

allocated New Shares will not be delivered to, nor will they be tradable by, the

relevant applicant before the registration of the share capital increase

pertaining to the New Shares has taken place in the Norwegian Register of

Business Enterprises.

Notifications of conditional allocation, including settlement instructions, are

expected to be distributed by the Managers on or about 19 July 2023, with

settlement on or about 25 July 2023.

The following persons discharging managerial responsibilities ("PDMRs") and

close associates to PDMRs have been allocated the following number of New Shares

in the Private Placement at the same price as other investors: Havila Holding

AS, a company under the control of the Company's chairman Per Sævik and the

directors Hege Sævik Rabben, Njål Sævik and Vegard Sævik, has been allocated

465,820,000 New Shares. Following the transaction, Havila Holding AS will own

510,928,333 shares in the Company representing approx. 61% of the issued share

capital after completion of the Private Placement.

The Board has proposed to the EGM that the Board be authorized to carry out a

subsequent offering (the "Subsequent Offering") of up to 60,000,000 new shares

at a subscription price per new share equal to the Offer Price raising gross

proceeds of up to NOK 60,000,000 to its existing shareholders as of close of

trading 18 July 2023, as subsequently recorded in the VPS on 20 July 2023, who

(i) were not allocated New Shares in the Private Placement, (ii) were not

offered participation in the pre-sounding for the Private Placement, and (iii)

are not resident in a jurisdiction where such offering would be unlawful or,

would (in jurisdictions other than Norway) require any prospectus, filing,

registration or similar action. Such shareholders will be granted non-tradable

subscription rights to subscribe for, and, upon subscription, be allocated new

shares. Over- subscription will be allowed in the Subsequent Offering, but

subscription without subscription rights will not be allowed.

The Board, together with the Company's management and the Managers, has

considered various transaction alternatives for the refinancing of the Group.

Based on an overall assessment, considering inter alia the need for funding,

time available to secure financing for delivery of vessels from Tersan, costs,

and risk related to alternative methods of the securing the desired refinancing,

the Board has on the basis of careful considerations decided that the Private

Placement in combination with the Bond Issue is the alternative that best

protects the Company's and the shareholders' joint interests. By structuring the

equity raise as a private placement with a subsequent offering, the Company was

able to raise capital in an efficient manner with significantly lower completion

risks compared to a rights issue. Thus, the deviation from the shareholders

preemptive rights inherent in a private placement is considered necessary.

Arctic Securities AS, Fearnley Securities AS and Nordea Bank Abp, filial i

Norge, are acting as Managers for the Private Placement and the Bond Issue.

Wikborg Rein Advokatfirma AS and Advokatfirmaet Thommessen AS are acting as

legal counsel to Havila Kystruten AS and the Managers, respectively.

This information is considered to be inside information pursuant to the EU

Market Abuse Regulation.

This stock exchange announcement was published by Arne Johan Dale, CFO of Havila

Kystruten AS, on 18 July 2023 at 23:00 CEST.

Contacts:

CEO Bent Martini, +47 905 99 650

CFO Arne Johan Dale, +47 909 87 706

Important information:

The release is not for publication or distribution, in whole or in part directly

or indirectly, in or into Australia, Canada, Japan or the United States

(including its territories and possessions, any state of the United States and

the District of Columbia). This release is an announcement issued pursuant to

legal information obligations, and is subject of the disclosure requirements

pursuant to section 5-12 of the Norwegian Securities Trading Act. It is issued

for information purposes only, and does not constitute or form part of any offer

or solicitation to purchase or subscribe for securities, in the United States or

in any other jurisdiction. The securities mentioned herein have not been, and

will not be, registered under the United States Securities Act of 1933, as

amended (the "US Securities Act"). The securities may not be offered or sold in

the United States except pursuant to an exemption from the registration

requirements of the US Securities Act. The Company does not intend to register

any portion of the offering of the securities in the United States or to conduct

a public offering of the securities in the United States. Copies of this

announcement are not being made and may not be distributed or sent into

Australia, Canada, Japan or the United States. The issue, subscription or

purchase of shares in the Company is subject to specific legal or regulatory

restrictions in certain jurisdictions. Neither the Company nor the Managers

assume any responsibility in the event there is a violation by any person of

such restrictions. The distribution of this release may in certain jurisdictions

be restricted by law. Persons into whose possession this release comes should

inform themselves about and observe any such restrictions. Any failure to comply

with these restrictions may constitute a violation of the securities laws of any

such jurisdiction. The Managers are acting for the Company and no one else in

connection with the Private Placement and will not be responsible to anyone

other than the Company providing the protections afforded to their respective

clients or for providing advice in relation to the Private Placement and/or any

other matter referred to in this release. Forward-looking statements: This

release and any materials distributed in connection with this release may

contain certain forward-looking statements. By their nature, forward-looking

statements involve risk and uncertainty because they reflect the Company's

current expectations and assumptions as to future events and circumstances that

may not prove accurate. A number of material factors could cause actual results

and developments to differ materially from those expressed or implied by these

forward-looking statements.