PT Berlian Laju Tanker, Indonesia’s biggest shipping company, withdrew a bid for Norwegian shipowner Camillo Eitzen & Co. valued at about $160 million after failing to reach agreement on terms.

Camillo Eitzen dropped the most in more than three months in Oslo trading. Talks produced “no conclusive results,” Kevin Wong, Berlian Laju’s chief financial officer, said by phone today from Jakarta, where the company is based. Discussions will continue and may result in an accord “in the future,” the shipper said in a statement.

Berlian Laju made the offer in October in an effort to double sales and become the world’s largest operator of chemical tankers. It reduced the bid’s value in December after regulators barred the use of convertible bonds as part of the offer. Oslo- based Camillo Eitzen said in January it would no longer hold exclusive talks with the suitor.

“Berlian Laju and Camillo Eitzen have had discussions in order to attempt to re-establish a mutually binding commitment to the transaction,” the Norwegian company said in a statement. “Unfortunately, up to this time such efforts have failed. Camillo Eitzen is continuing to pursue other strategic alternatives.”
Stock Drops

A takeover would have boosted its fleet of owned or operated vessels to 157 tankers carrying chemicals, 14 hauling oil, 42 transporting gas and as many as 60 bulk carriers, Berlian Laju said on Oct. 5.

Slumping world trade hurt demand for shipping of goods and commodities by sea last year. Camillo Eitzen said Feb. 19 freight income slid 51 percent to $513 million in 2009. Combining with Berlian Laju would have strengthened its ability to compete with rivals including London-based Stolt-Nielsen SA, the biggest chemicals shipper by market value, and Bergen, Norway-based Odfjell SE, which ranks second. (Bloomberg)