Scorpio Tankers Inc. Announces Public Offering of 7M Shares of Its Common Stock
Scorpio Tankers Inc. (NYSE: STNG) announced today that it intends to offer and sell 7,000,000 shares of its common stock in an underwritten public offering. The purpose of the offering is to enable the Company to fund the acquisition of two 52,000 dwt newbuilding tankers that it is currently negotiating to have constructed at Hyundai Mipo Dockyard Co. Ltd. of South Korea.
The proceeds of the offering are expected to be used to partially repay outstanding indebtedness under the Company's 2010 Revolving Credit Facility with Nordea Bank Finland plc (the "2010 Revolving Credit Facility") and for general corporate purposes. The Company intends to re-draw all or a portion of the amount available under the 2010 Revolving Credit Facility to fund the acquisitions described above.
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