Hafnia's $145 Million Stake Purchase Reshapes Torm's Shareholder Map

Torm closed at EUR 32.14 after Hafnia agreed to buy 4.5 million shares from Oaktree's secondary offering, lifting its stake to about 18.22%.

Torm's equity surged 6.3% on Wednesday as the Danish product tanker operator's largest shareholder offloaded a nine-million-share block — and a rival shipowner stepped in to absorb half of it. The stock closed at EUR 32.14 in German trading, just 0.6% shy of its 52-week peak.

The catalyst was the completion of a secondary offering by OCM Njord Holdings, the vehicle through which Oaktree Capital Management has long held its Torm position. Priced at USD 32.25 per Class A share, the placement generated roughly USD 290.3 million in gross proceeds for the seller. Torm issued no new shares and received no capital from the transaction.

A Strategic Buyer Emerges

Hafnia Limited, part of the BW Group, agreed to acquire 4.5 million of the offered shares at the same price — a stake equal to about 4.39% of Torm's outstanding share capital. Once the deal settles, Hafnia is expected to control approximately 18.22% of the company, cementing its status as the largest single investor.

The move follows Hafnia's initial entry into Torm late last year, when it spent roughly USD 311.4 million to build its position. For a competitor to deepen its holding while the incumbent backer retreats marks a notable shift in the ownership register.

Oaktree held about 20% of Torm before the placement. Depending on whether the 30-day over-allotment option — covering up to 1.35 million additional shares — is exercised, its remaining stake could fall to around 11% or lower. J.P. Morgan is serving as sole bookrunner on the offering.

The overhang that had weighed on the stock ahead of the pricing has now cleared. Torm shares had slipped below the placement price in U.S. trading on Tuesday, but Wednesday's rally erased that discount and then some.

Operating Momentum Underpins the Rally

The shareholder reshuffle lands during a stretch of exceptional profitability for Torm. In second-quarter results reported roughly three weeks ago, the company posted a net profit of USD 338 million and EBITDA of USD 416 million, buoyed by robust demand in the product tanker market.

Its fleet numbered 97 vessels at the end of June, carrying an estimated aggregate value north of USD 4 billion. Management is pressing ahead with expansion: six newbuildings are on order alongside the purchase of six secondhand ships.

Investors have rewarded that performance. Torm's stock has climbed 86% year-to-date, and Wednesday's advance pushed it to a fresh 52-week high of EUR 31.66 during the session — leaving zero distance to that milestone. The ease with which the market absorbed a nine-million-share block signals confidence in the company's valuation.

Analyst Adjustment and Upcoming Events

Not all the recent news has been bullish. On September 6, Wall Street Zen downgraded the shares from "Strong Buy" to "Buy," a modest recalibration rather than a reversal of sentiment. The broader outlook for tanker operators remains a key consideration for investors weighing the sector.

Earlier in the month, on September 2, Torm disclosed the issuance of 22,666 new Class A shares following the exercise of Restricted Share Units under its long-term incentive plan.

Attention now turns to the 18th Annual New York Maritime Forum on September 30, where Torm's leadership will join executives from other international dry bulk, gas, and tanker shipping companies to discuss market conditions and the industry's trajectory. The company's presence at the New York City event reflects its push to engage institutional investors and sector analysts following the realignment of its shareholder base.