International Seaways to Acquire Bruton Limited for $370 Million

Oil tanker operator International Seaways, Inc. (INSW) has agreed to acquire Bruton Limited in a deal valued at approximately $370 million. The acquisition will add four Very Large Crude Carriers (VLCCs), including newbuild vessels, to the company fleet. To fund the transaction, International Seaways will issue roughly 3.12 million shares to cover about 96% of the purchase price, with the remaining balance paid in cash. An initial share exchange has already secured a 50.5% stake to ensure voting support for the merger.

The deal expands the scale of International Seaways during a period of strong freight rates. Third-quarter blended spot rates averaged roughly $68,000 per day, compared to $29,000 per day in the same quarter a year earlier. Early fourth-quarter spot rates have risen further to approximately $180,000 per day on 37% of available days. Expanding its VLCC capacity allows the company to capture additional upside from elevated crude spot market rates while preserving cash reserves through stock-heavy consideration.

Completion of the acquisition depends on a vote by Bruton Limited shareholders scheduled for late October. Investors will also be watching whether strong spot rates persist across the rest of the fourth quarter, as well as the immediate market reaction following a 4.74% decline in International Seaways shares, which traded at $113.10.