Scorpio Tankers Inc. has acquired subsidiaries of Trafigura Maritime Logistics Pte. Ltd. (“TML”), a wholly-owned subsidiary of Trafigura Group Pte Ltd (“Trafigura”), which have leasehold interests in 15 Medium Range (MR) product tankers and four LR2 product tankers, the company said in its release. Scorpio Tankers will assume the present value of the finance lease arrangement of approximately USD668 million and issue approximately 4.7 million shares at USD29.00 per share to Trafigura for an aggregate market value of approximately USD135 million. These shares will be subject to a customary lock-up through the end of 2019.
Scorpio Tankers also announced today private placements with Trafigura for USD35 million and Scorpio Services Holding Ltd., a related party, for USD15 million for an aggregate total of USD50 million or 1,724,137 shares at USD29.00 per share.
Following the closing of both transactions which is expected before 27 September 2019, Trafigura will own approximately 10 percent of the ordinary shares of Scorpio Tankers.
The new-build super-eco vessels constructed by Hyundai Vinashin and New Times shipyards, are all fitted with exhaust gas cleaning systems operating with a potential significant competitive cost advantage in the changing oil and freight markets.
About Scorpio Tankers Inc.
Scorpio Tankers Inc. is a provider of marine transportation of petroleum products worldwide. Scorpio Tankers Inc. currently owns or finance leases 109 product tankers (38 LR2 tankers, 12 LR1 tankers, 45 MR tankers and 14 Handymax tankers) with an average age of 4.1 years and bareboat charters-in 10 product tankers (three MR tankers and seven Handymax tankers). The figures do not include the acquisition described above.
About Trafigura
Founded in 1993, Trafigura is one of the largest physical commodities trading groups in the world. Trafigura sources, stores, transports and delivers a range of raw materials (including oil and refined products and metals and minerals) to clients around the world. The trading business is supported by industrial and financial assets, including 49.3 percent owned global oil products storage and distribution company Puma Energy; global terminals, warehousing and logistics operator Impala Terminals; Trafigura's Mining Group; and Galena Asset Management. The Company is owned by around 700 of its 4,300 employees who work in 66 offices in 38 countries around the world. Trafigura has achieved substantial growth over recent years, growing revenue from USD12 billion in 2003 to USD180.7 billion in 2018. The Group has been connecting its customers to the global economy for more than two decades, growing prosperity by advancing trade.