Scorpio Closes Acquisition of Four MR Product Tankers

Scorpio Closes Acquisition of Four MR Product Tankers

Scorpio Tankers Inc. yesterday announced that it has closed on the previously announced acquisition of four MR product tankers currently under construction in South Korea.

The purchase price of the four MR product tankers, in aggregate, was approximately $154.4 million.

In connection with the sale, the company issued 3,523,271 common shares (or approximately 26% of the purchase price) and $4.4 million in cash in exchange for the four vessels. The remaining purchase price will be paid to the shipyard from cash-on-hand and bank debt.

One vessel is expected to be delivered in the third quarter of 2014, and the remaining three are expected to be delivered in the first quarter of 2015.

These vessels are similar to the company’s newbuildings that are also under construction at the same shipyard.

 

[mappress]

Press Release, December 31, 2013

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