International Seaways will pay approximately $370 million for Oslo-listed Bruton Limited, adding four very large crude carriers to a fleet of roughly 70 crude and product tankers while VLCC earnings run at their strongest in years.

The acquisition, announced Friday, brings one VLCC already in operation and three newbuildings under construction at China's New Times Shipyard. It lands alongside preliminary results that show how sharply the crude market has turned: average blended spot earnings of about $68,000 per day in the third quarter, more than double the $29,000 per day recorded a year earlier.

The fourth quarter looks even stronger. International Seaways has already secured blended spot earnings averaging approximately $180,000 per day on about 37% of its expected fourth-quarter revenue days — roughly 2.6 times the full third-quarter average.

What does the deal structure look like?

International Seaways will initially acquire a 50.5% stake in Bruton through a share exchange with existing shareholders, expected to settle around October 20. A cash-and-stock merger for the remaining shares follows.

The company expects to issue approximately 3.12 million shares, covering roughly 96% of total consideration, with the balance in cash. Bruton shareholders vote on the merger around October 30, and the transaction should close shortly afterward, subject to customary conditions.

"We're excited about the opportunity to expand and modernize our fleet through this accretive transaction with Bruton," said Lois K. Zabrocky, president and CEO of International Seaways. "The transaction underscores our disciplined approach to growth."

What ships are changing hands?

Bruton's fleet consists of the 300,000-dwt Mount Vision, delivered in July, and three sister vessels scheduled for delivery between November 2026 and October 2027.

The earning power is already contracted. Mount Vision is earning $95,000 per day under its existing charter, and the next vessel, Mount Horizon, has secured a charter at $105,700 per day, according to Bruton's fleet information.

Bruton previously controlled a larger VLCC newbuilding program but spun off eight vessels into OMC Tankers, which began trading in Oslo in August. Those eight newbuildings sit outside the International Seaways deal.

How strong are the underlying numbers?

International Seaways expects third-quarter revenue of $480 million to $490 million and net income of $340 million to $350 million. Those figures include an approximately $50 million gain from the sale of a 2012-built Suezmax tanker — meaning core operating profit still falls between $290 million and $300 million for the quarter.

Liquidity stood at approximately $965 million at September 30, including $455 million in cash and short-term investments, giving the owner room to fund the mostly stock-based purchase without straining its balance sheet.

What does it mean for the market?

For charterers, the deal signals that owners see elevated earnings persisting deep into the delivery window of the newbuildings, which arrive between late 2026 and late 2027. For competitors, it removes a small, modern VLCC pure-play from the Oslo market and consolidates tonnage under one of the largest US-listed tanker owners.

Full third-quarter financial results are scheduled for release on November 5.