Scorpio Tankers to sell four vessels and erase $368M in secured debt

Scorpio Tankers (NYSE:STNG) agreed to sell four of its LR2 product tankers for an aggregate $285.8 million and unveiled a sweeping financial optimization plan that will completely eliminate all outstanding secured debt due in 2028.

The Monaco-headquartered shipping company expects the sales of the four large-range tankers to close during the second or third quarter of 2026.

Alongside the asset divestments, the company signed a letter of intent to acquire two smaller, modern Medium Range newbuilds equipped with exhaust gas cleaning systems, known as scrubbers, for $46.25 million per vessel.

The newbuildings are slated for delivery in the first quarter of 2030, marking a long-term capital recycling play designed to modernize the fleet while capitalizing on strong current asset valuations in the maritime sector.

The fleet adjustments coincide with an aggressive deleveraging program.

Scorpio Tankers intends to execute $367.8 million in unscheduled prepayments to fully extinguish its obligations under certain secured credit facilities that were originally scheduled to mature in 2028.

To finalize the exit from these borrowing structures, the company also plans to permanently cancel its remaining undrawn revolving credit capacity.

Management projects that the debt prepayments and facility cancellations will conclude within the second quarter of 2026, triggering the complete termination of the underlying credit arrangements.