Wallenius Wilhelmsen writes 10 billion

Wallenius Wilhelmsen writes 10 billion

Wallenius Wilhelmsen has decided to change how the company's accountants calculate their options to buy 20 percent of car shipping company EUKOR, the company said.

The change comes after Wallenius Wilhemsen switches accountants from PwC to EY from 2024.

The change means Wallenius Wilhelmsen's registered shares for 2023 and the first quarter of 2024 will decrease by $977 and $929 million, respectively. The company writes that it does not expect the dividend to be affected, but the equity stake will be reduced.

Equity will therefore be reduced by more than NOK 10 billion.

Since 2018, Wallenius Wilhelmsen has recognized call and put options in accounts relating to Hyundai Motor Group's (HMG) 20 percent ownership in South Korean shipping company EUKOR. Wallenius Wilhelmsen already owns 80 percent of EUKOR.

The company has been able to exercise options since 2018, when Wallenius Wilhelmsen's share of HMG's transportation volumes fell to less than 50 percent. Now their percentage has reached 40 percent.

The change in accounting stems from the recognition of the claim on the put option, as well as the removal of the carrying values ​​of non-current assets, for which the options were introduced at 20 per cent in EUKOR.

See also  The Oslo Stock Exchange fell sharply: - the price is rarely low
Dalila Awolowo

Dalila Awolowo

"Explorer. Unapologetic entrepreneur. Alcohol fanatic. Certified writer. Wannabe tv evangelist. Twitter fanatic. Student. Web scholar. Travel buff."

Leave a Reply

Your email address will not be published. Required fields are marked *