(Corrects "profit" to "theoretical gain" in 4th paragraph)
OSLO, April 4 Norwegian holding company Aker
will pay an $8.5 million fine for insider trading in
shares of a company it controls, the oil services firm Aker
Solution, the holding company said on Friday.
Aker, the holding company, bought the shares just days
before Aker Solution sold a major subsidiary, it said. Aker
Solution shares rose after the deal, and the holding company
made a gain on the transaction.
"This is a case of good intentions, bad execution," said
billionaire Kjell Inge Røkke, the biggest shareholder in both
companies. "Aker has concluded that it is sensible to reach an
agreement ... and accept the penalty notice."
Aker said it had insider information about the sale of the
subsidiary but went ahead with a total return swap agreement
involving 1.5 million Aker Solutions shares. Aker made a 17
million-crown ($2.83 million) theoretical gain on the deal. Its
penalty is confiscation of this gain plus a fine equalling twice
Aker holds controlling stakes in a plethora of companies,
including Aker Solutions and oil services firm Kvaerner
($1 = 5.9970 Norwegian Krones)
(Reporting by Balazs Koranyi; Editing by Larry King and Anthony