International Seaways, Diamond S Shipping To Merge

(RTTNews) - International Seaways Inc. (INSW) and Diamond S Shipping Inc. (DSSI) agreed to merge in a stock-for-stock transaction.

On a pro forma basis, the combined company will have 100 vessels, shipping revenues of over $1 billion, over 2,200 employees, and an enterprise value of about $2 billion.

Diamond S shareholders will receive 0.55375 shares of INSW common stock for each share of Diamond S common stock held. Based on the closing prices of INSW's shares on March 30, 2021, the total stock consideration in the transaction has a value of about $416 million.

Following the merger, INSW and Diamond S shareholders will own about 55.75% and 44.25% of the combined company, respectively. International Seaways will remain listed on the NYSE under the symbol "INSW".

Douglas Wheat, Lois Zabrocky and Jeffrey Pribor will continue to serve as the Chairman of the Board of Directors, Chief Executive Officer and Chief Financial Officer of INSW, respectively, and the current CEO of Diamond S, Craig Stevenson Jr., will join the Board of Directors of INSW, and also act as a special advisor to the CEO for a 6-month period to ensure a smooth transition.

The merger is expected to close in the third quarter of 2021.

The Board of Directors of INSW will comprise seven representatives of INSW and three representatives of Diamond S.