Camillo Eitzen receives bid, shares surge

* Camillo Eitzen gets bid interest from Berlian Laju Tanker

* Exchangeable bonds for shares equivalent to NOK 25/share

* Offer includes capital injection plan, shares surge

OSLO, Oct 5 (Reuters) - Norwegian shipping group Camillo Eitzen & Co EZN.OL (CECO) received an indicative offer worth about 1.01 billion crowns ($174 million) from Indonesian shipping company PT Berlian Laju Tanker Tbk (BLT), sending its shares surging.

CECO said on Monday its shareholders would be offered mandatory exchangeable bonds (MEBs) equivalent to 25 crowns per share, based on BLT's (BLTA.JK) (PTBL.SI) share price at the end of the offer period.

It said the offer would not exceed 49.13 BLT shares per CECO share.

CECO shares rose 165 percent to 17.90 Norwegian crowns at 1118 GMT, giving it a market capitalisation of 721 million crowns ($125 million).

"BLT has informed that they expect to be able to launch the indicative offer in mid-November 2009 and with an ambition to close the indicative offer within the end of November," it said.

The offer was subject to several conditions, including agreement with lenders in CECO, satisfactory due diligence, shareholder approvals, and a successful private placement in BLT of a minimum $200 million in new equity, CECO said.

"The main stakeholders in BLT and CECO are committed to support the transaction and intend to underwrite about 50 percent of the contemplated private placement in BLT," the Norwegian group said.

One analyst who asked not to be named said it was hard to judge if the exchange offer was fair without further information about the asset values of BLT, but added the completion of a deal that included a recapitalisation would be positive for CECO shareholders.

CECO said MEBs could be exchanged for ordinary BLT shares with conversion expected to take place following a general meeting in BLT, scheduled for July 2010.

"Following the completion of the indicative offer, BLT has informed that they will seek a secondary listing of the company's shares on Oslo bourse, securing increased visibility and liquidity to CECO's shareholders," CECO said.

CECO was in the process of evaluating the nature and features of the MEB and whether the bonds were eligible for listing on Oslo's stock exchange, it added. (Reporting by Richard Solem; Editing by David Cowell)