Scorpio provides marine transportation of petroleum products globally and currently has 131 product tankers. Credit: Chris Pagan / Unsplash.

Monaco-headquartered petroleum products shipping firm Scorpio Tankers has agreed to sell 14 vessels as part of its efforts to raise liquidity.

The agreements cover the sale of the 2013-built STI Fontvieille and 2019-built STI Majestic MR tankers, as well as 12 LR1s.

Go deeper with GlobalData

Premium Insights

The gold standard of business intelligence.

Find out more

Related Company Profiles

View all

Scorpio is selling STI Fontvieille and STI Majestic for $23.5m and $34.9m, respectively. The 12 LR1 vessels are being purchased by Singapore-based Hafnia Tankers for $413.8m.

Built in South Korea, these LR1 vessels are expected to be delivered between the second half of February and mid-May, Hafnia said in a separate statement.

According to Scorpio, these transactions are expected to bring additional liquidity of approximately $189m to the company.

See Also:

The company also said that it is currently in talks with a financial firm to further raise its liquidity by up to $27m through the refinancing of its four vessels.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

When combined with the tanker sales, these deals would increase Scorpio’s liquidity by about $216m.

Scorpio Tankers chairman and CEO Emanuele Lauro said: “These sales confirm that our net asset value (NAV) is substantially above the current STNG share price. The fundamentals are improving, and the additional liquidity gives us increased flexibility and security to create shareholder value.

“After the scheduled sale of the vessels, we have limited debt maturities in 2022, the convertible bonds for $69.7m, which we are preparing to pay off with cash, and one credit facility for $16.9m, which we plan on refinancing.”

Scorpio provides marine transportation of petroleum products globally and currently has 131 product tankers. These include 42 LR2 tankers, 12 LR1 tankers, 63 MR tankers and 14 Handymax tankers.