Nordic American Tanker Announces $106 Million Acquisition Of 4 Tankers

Nordic American Tanker Ltd (NYSE: NAT), an international tanker company that owns crude oil tankers, announced on Monday it has entered into an agreement to acquire four Suezmax sister vessels for $106 million.

Nordic American Tanker stated that two of the tankers were built in 2004, one in 2003 and one in 2000. The company added that shipbuilding technology for crude oil tankers "has not changed much over the last 20 years," and the age of the ships "does not matter anywhere near as much as the quality of the ship itself."

The vessels are expected to be delivered during May, June and July this year.

Nordic American Tanker mentioned its latest acquisitions enhance its fleet's reputation and represent a "natural step in the further development" of the company. In fact, between July 2014 and January 2017, 10 vessels will have been added to the company's fleet.

Finally, Nordic American Tanker stated its increased fleet of ships will produce "significantly" increased cash flows and "solid" dividends compared with a smaller fleet.

Nordic American Tanker's stock showed no trades early Monday, but gained more than 2 percent to close at $15.42 on Friday. Shares have also gained 25 percent over the past year.