Teekay opens TIL

Teekay has raised $250m to create a new tanker division in league with daughter company, Teekay Tankers.

In a move predicted by TradeWinds last week, the Canadian giant has spun-off a second tanker arm via the Norwegian capital market with an eye on a full stock listing in Oslo.

Tanker Investments Ltd, which carries the ticker TIL, will receive $25m from both of the Canadian owner's established wings.

Its initial fleet contains four suezmaxes bought from Teekay Corp and a quartet of modern aframaxes, a statement confirms.

Peter Evensen, Teekay Corp's president and chief executive, explained:  "With the sale of our last four owned conventional tankers to TIL, Teekay Corporation is one step closer to achieving its strategy of becoming an asset-light company primarily focused on increasing the value of its daughter entities."

Teekay Corp and Teekay Tankers will control 20% of the new venture, which is a sale and purchase play in one of shipping’s hot markets right now.

It has paid $116m for the aframaxes and $163m for the suezmaxes, the statement said.

New avenue

Bruce Chan, Teekay Tankers' chief executive, said: "Our investment in TIL provides a new avenue for Teekay Tankers' shareholders to benefit from a tanker market recovery.

"This transaction complements our existing strategy of owning and in-chartering conventional tankers."

As part of the deal, Teekay Tankers will buy its parent's commercial and technical tanker management operations.

Chan said: "In addition, our planned acquisition of Teekay Operations represents the final step in Teekay Tankers' evolution into a full-service conventional tanker platform, which we believe will allow us to better serve our customers and generate greater value for Teekay Tankers."

TradeWinds reported on Friday the aframaxes were thought to have been bought from Montanari of Italy.

DNB Markets acted as exclusive financial advisor to Teekay on the deal.