Scorpio Tankers (STNG) (NYSE:STNG) transports crude oil by sea using tankers. It currently operates three crude oil tankers and plans to use the IPO to purchase additional tankers. As of the end of February 2010, the average age of the three tankers are 6.6 years. The company plans to purchase tankers that are around five years old. Two of the tankers participate in fixed-rate time charters, charging $24,500 and $26,000 per day. 
The global economic crisis and the higher costs for capital have resulted in the decline in values of tankers. Thus, sea transportation companies that have available funding can purchase these tankers at lower values. Furthermore, as the economy recovers, the demand for crude oil will rise, resulting in more industry revenue. 
The company's initial public offering of stock on the NYSE exchange was on 30 March 2010, and it priced at $13.00, well below the range of the $14.00-$16.00 initial offer. The company offered 12.5 million shares and raised $163 million. 
For the nine months ended 31 December 2009, the company reported $21.8 million in vessel revenue, down 25% from $28.9 million in vessel revenue for the nine months ended 31 December 2008. Furthermore, the company had $1.7 million in net income for the nine months ended 31 December 2009, down 85% from $11.1 million in net income for the nine months ended 31 December 2008. The decrease in net income is partially from the result of an impairment charge.