Frontline Ltd. ("Frontline") has its origin in Frontline AB, which was founded in 1985, and which was listed on the Stockholm Stock Exchange from 1989 to 1997. Hemen Holding Ltd. (a company indirectly controlled by trusts established by our Chairman John Fredriksen for the benefit of his immediate family) became the largest shareholder of Frontline AB in 1996. In May 1997, a decision was made at the general meeting in Frontline AB to change its domicile from Sweden to Bermuda and to list its shares on the Oslo Stock Exchange. The change of domicile was executed through a share for share exchange offer from the then newly formed Frontline in Bermuda.
As a result of the acquisitions of vessels and shipping companies, Frontline has established itself as the world leader in the international seaborne transportation of crude oil, with one of the world's largest fleets of VLCC and Suezmax tankers and Suezmax OBO carriers. Frontline is committed to providing quality transportation services to all its customers and to developing and maintaining long-term relationships with the major charterers of tankers.
Since 1996, Frontline has been actively involved in consolidation of the tanker industry and has, as part of this, carried out a series of corporate transactions which can be summarized as follows:
- In July 2009, Frontline Ltd. agreed with Ship Finance International Limited to terminate the long term charter party between the companies for the single hull VLCC Front Duchess. Frontline received a compensation payment from Ship Finance of approximately $2.4 million.
- In May, 2009, Frontline entered into agreement with two ship yards to cancel four Suezmax and two VLCC newbuilding contracts.
- In May, 2009, Frontline took delivery of Front Queen, the second VLCC built at Shanghai Waigaoqiao Shipbuilding Company Ltd.
- In January 2009, Frontline took delivery of the VLCC Front Kathrine, built at Shanghai Waigaoqiao Shipbuilding Company Ltd., two months before contractual delivery date.
- In December 2008, Teekay Corporation and Frontline announced an agreement to commercially combine their Suezmax vessels within the Gemini Pool, a Suezmax tanker pool serving customers around the globe.
- In July 2008, Frontline successfully delivered the fourth and final heavy lift vessel to Dockwise Ltd. The total gain of the heavy lift transaction is approximately $255 million.
- In June 2008, Frontline announced the acquisition of five double hull Suezmax tankers en bloc from Top Ships Inc.
- In April 2008, Frontline Ltd. entered into a contract with Zhoushan Jinhaiwan Shipyard Co.,Ltd. in China for delivery of four 320,000 dwt VLCC newbuildings. The vessels will be delivered from June 2011 until December 2011. Frontline also secured options for further two similar VLCC newbuildings at a fixed price.
- In March 2008 Frontline Ltd. agreed with Ship Finance International Limited to terminate the long term charter party between the companies for the single hull VLCC Front Sabang. Frontline received a compensation payment from Ship Finance of approximately $25 million.
- In February 2008, Frontline spun off 17.53% of its holding in ITCL to Frontline shareholders.
- In February 2008, Frontline agreed to invest $20 million in NAVIG8 LIMITED ("Navig8") against the issue of new share capital representing a total of 15.8% stake in the company. Navig8 controls approximately 30 tankers representing approximately 1.4 million dwt, including newbuildings on order.