S&P: Overseas Shipholding unchanged

Standard & Poor's said that Frontline Ltd. (not rated) recently disclosed that it plans to contact management of Overseas Shipholding Group Inc. (BB/stable) or other major Overseas Shipholding shareholders to discuss "alternatives" to boost Overseas Shipholding's shareholder value.

S&P said that Frontline's plan does not affect its ratings or outlook on Overseas Shipholding at this time, adding that Frontline stated that alternatives could lead to the company combining with or acquiring control of Overseas Shipholding.

According to the agency, Frontline has about a 5% stake in OSG and has a forward contract with DnB NOR Bank ASA to purchase an additional 4.4%, equal to about 1.37 million shares on Aug. 29, for $93.1 million.

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