Scorpio Tankers Inc. Prices Public Offering of Its Common Stock

Tallahassee, FL 12/1/11 (StreetBeat) --Scorpio Tankers Inc. (NYSE: STNG) announced today that it has priced its public offering of 7,000,000 shares of its common stock, par value $0.01 per share, at $5.50 per share. An aggregate of 700,000 shares was allocated, at the direction of the Company, to a member of the Lolli-Ghetti family, of which Scorpio Tankers Inc.'s Chairman and Chief Executive Officer is a member, subject to a customary underwriters lockup agreement. The offering is expected to close on December 6, 2011. The Company has granted the underwriters a 30-day option to purchase an additional 1,050,000 shares of its common stock, which was exercised in full.

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, which are in addition to the five newbuildings that are already contracted for at the same yard. 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.

Morgan Stanley & Co. LLC is acting as the sole bookrunning manager and Fearnley Fonds ASA is acting as co-manager in the offering.

StreetBeat Disclaimer

Distributed by Viestly