DNB Markets: Teekay to combine tanker siblings

Teekay Tankers is being tipped to join the consolidation trend sweeping the crude tanker market with the purchase of sibling Tanker Investments Ltd (TIL).

Analysts at DNB Markets believe the New York-listed owner will table an offer for Oslo-quoted TIL before the end of this year.

A combination of Teekay Tankers and TIL would create a company with a market capitalization of $550m, according to DNB Markets analysts Nicolay Dyvik, Petter Haugen and Jorgen Lian said.