The board of KNOT Offshore Partners is considering a non-binding proposal by its parent company, Knutsen NYK Offshore Tankers, which contemplates acquiring all outstanding common shares at a price of $10 per unit.
Offering and acquisition of KNOT Offshore Partners
Knutsen NYK Offshore Tankers, which is KNOP’s largest shareholder, is proposing to structure the transaction as a merger between the company and one of its subsidiaries, with the objective of converting KNOT Offshore Partners into a private entity. The proposal was officially filed on October 31, 2025, and reportedly was not previously solicited by KNOP management.
The Conflicts Committee of KNOP’s Board of Directors, composed exclusively of independent members, has initiated the process of engaging external advisors to conduct a detailed evaluation. The decision on whether to accept the proposal will depend on a comprehensive analysis of the benefits for minority shareholders.
The potential merger is subject to several conditions. These include the approval of the committees and boards of directors of both parties, as well as the majority consent of KNOP’s common, class B and preferred unitholders, who will vote as a single class. In addition, customary legal closing requirements are contemplated.
KNOT Offshore Partners LP specializes in the operation of offshore transport tankers, known as shuttle tankers. In addition, its main areas of activity are located off the coasts of Brazil and the North Sea, where it provides services by means of
Although the proposed acquisition marks a possible change in the company’s corporate structure, there is still no guarantee that the transaction will be completed. The final decision will be subject to financial viability, regulatory compliance and internal approvals from both parties.
Source and photo: KNOT Offshore Partners
