Bijar Mossavar-Rahmani, RAK’s chief executive since 2008, was named chairman of the DNO board at the company’s annual general meeting on Thursday, the company announced.

Thrown off was Berge Gerdt Larsen, who had served as DNO’s executive board chairman since 2002 and chief executive from 1996 to 2002.

RAK now holds a 30 percent stake in DNO.

Shares in DNO were up 0.3 percent at 7.20 crowns at 1500 GMT, while the main Oslo bourse index was up 0.8 percent. Before the announcement the share price was down nearly 2 percent.

In a statement Mossavar-Rahmani said after Thursday’s appointment that RAK sought to “take a more active role ... to stabilize DNO International and then drive it to realize its full potential.”

He said he would work in collaboration with other shareholders and DNO’s management.   First Securities analyst Teodor Sveen Nilsen said the boardroom switch did not alter his view of DNO’s prospects.

“It’s not unnatural that the largest owner, RAK, has the board chairmanship,” said Sveen Nilsen. “But this could revive speculation about a RAK offer (to buy DNO).”

At last year’s annual meeting DNO shareholders elected two board members proposed by RAK, including RAK board member and former US ambassador to Iraq Zalmay Khalilzad, who subsequently declined to serve.

Three months ago Mossavar-Rahmini took the seat that had been designated for Khalilzad.