Scorpio Tankers agrees to sell ships and buy newbuilding vessels

What happened

Scorpio Tankers Inc. (NYSE STNG) said it entered agreements to sell three product tankers and buy four newbuilding vessels. The sales cover STI Dama for $37.5 million, STI Elysees for $70.0 million, and STI Veneto for $73.0 million. The company said the sales are expected to close before the end of 2026.

The purchases include two scrubber-fitted LR2 product tankers and two scrubber-fitted VLCCs. The LR2s are expected to be built at Jiangsu Hantong Ship Heavy Industry Co., Ltd. in China for $72.8 million per vessel. Deliveries are expected in October and November 2029. The VLCCs are expected to be built at Hengli Shipbuilding (Dalian) Co., Ltd. for $135.0 million per vessel. Deliveries are expected in September and October 2028.

Scorpio Tankers said it currently owns 74 product tankers, with 25 LR2 tankers, 35 MR tankers and 14 Handymax tankers. Average age is 10.2 years. The company also said it has reached agreements or letters of intent for five MR newbuildings, eight LR2 newbuildings and four VLCC newbuildings currently under construction.

Key numbers

Metric Latest Change Source
Product tankers to be sold 3 product tankers SEC 6-K press release
Newbuilding vessels to be purchased 4 vessels SEC 6-K press release
STI Dama sale price $37.5 million SEC 6-K press release
STI Elysees sale price $70.0 million SEC 6-K press release
STI Veneto sale price $73.0 million SEC 6-K press release
VLCC newbuild price $135.0 million per vessel SEC 6-K press release

Read more: Scorpio Tankers (STNG) stock analysis and investment case

Why it matters

The filing shows the company selling three older ships and ordering four later-delivery vessels. That refreshes the fleet, but the cash effect depends on closing the sales and waiting for the newbuilds.

At $135.0 million per vessel, the VLCCs cost $62.2 million more than the LR2 newbuilds, OptimistFi's calculation shows. OptimistFi's case is that Scorpio Tankers is a refined-products tanker cycle investment where tight fleet supply and long-haul product trade can compound cash per share after deleveraging.

This filing is mixed for that view because it adds capacity later, not now. The company also says five MR newbuildings, eight LR2 newbuildings and four VLCC newbuildings are already covered by agreements or letters of intent, showing the program is broader than this deal.

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What's next

The next dated event is closing the three sales before the end of 2026. The LR2 deliveries are expected in October and November 2029, and the VLCC deliveries are expected in September and October 2028.

On-time closings and deliveries would support the fleet plan. Delays to those dates would weaken it.

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Sources

Read the full OptimistFi thesis on Scorpio Tankers Inc.: https://optimistfi.com/stocks/STNG

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Originally published on OptimistFi, evidence-first equity research. More at optimistfi.com.