Scorpio Tankers announced that it intends to offer, issue and sell to the public $250 million of common shares, par value $0.01 per share, through an underwritten public offering.
The net proceeds of the Offering are expected to be used for general corporate purposes. As part of this offering, Scorpio Bulkers Inc. (NYSE:SALT), or SALT, and Scorpio Services Holding Limited, or SSH, each a related party and members of the Scorpio Group of companies, have each expressed an interest in purchasing common shares at the public offering price with a value of at least $100 million and $10 million, respectively. However, because indications of interest are not binding agreements or commitments to purchase, the underwriters may determine to sell more, fewer or no common shares in this offering to either or both of these entities, or either or both of these entities may determine to purchase more, fewer or no common shares in this offering.
The Company also intends to grant the underwriters a 30-day option to purchase up to an additional $37.5 million of Common Shares.
BofA Merrill Lynch and BTIG, LLC are acting as joint book-running managers and Clarksons Platou Securities, Inc. is acting as Senior Manager for the Offering.
Seward & Kissel LLP acted as legal counsel for Scorpio Tankers Inc. and Fried, Frank, Harris, Shriver & Jacobson LLP acted as legal counsel for the underwriters.