In view of the recent oil transportation field of multiple integration cases, the view that the integration of tanker company is positive, but if a company scale is too large, occupy the leading position in the industry, fair competition environment will undermine the entire industry.
In 2017, the integration of the tanker industry became a year of integration, and in the year, all the merger negotiations turned into action.
Two weeks ago, Monaco owner Scorpio Tankers said, the acquisition of the Marshall Islands oil tanker transportation company Navig8 Product Tankers. Upon completion of the merger, Scorpio will become the largest finished product tanker owner in the United States, with 105 owned or financial leasing vessels, and 19 bareboat charter tankers. Such scale makes it have huge scale benefit.
The Swedish oil ships east of Concordia maritime company (Concordia Maritime) CEO Kim Ullman (Kim Ullman) said that this integration is positive, can increase the number of effective control of oil tanker. But if an oil tanker company grows too large, the situation is less optimistic, he says. "There is a limit to that."."
The concern is similar to the smaller owners such as Concordia maritime company (with 12 product tankers and a Suez tanker), if the competition between the owners of greatly reduced, the market has a huge market share by some giant led, so small owners are likely to be out of the market.
Worry not only those small companies, including some are active in the operation of medium-sized shipowners, shipping companies such as Italy D 'Amico Shipping International, which has about 50 finished oil tankers. Marco Fiore, chief executive, Marco Fiori, said: "proper integration is very positive, but not all ships owned by a company, and the number of shipowners is too small to be good."."
One option to avoid these problems is to create a capacity pool. The capacity pool reduces competition among shipowners, but retains the autonomy of individual shipowners within the capacity pool; the alternative is to allow shipowners to ship at a fixed time. "There are many ways to integrate," says Mr Fiore."
This unusual merger year is unlikely to end soon. "I'm sure there will be more integration," predicts Ullman."
Some high-profile integration activities that have occurred so far this year:
1, Tanker Owners and operators Teekay Tankers and Tanker Investments (TIL) announced that they have signed a combined fleet agreement. After the completion of the merger, the tanker fleet of Teekay Tankers will increase from 40 to 62, including 3 rental vessels. The merger will create the world's largest medium-sized tanker listed company with a total assets of $2 billion 400 million.
2, John Frederikson (John Fredriksen) tanker company Frontlineis this year in trying to acquire DHT Holdings process, failed two times. It is understood that Frontlineis is currently with the U.S. New York crude oil shipping company Gener8 Maritime for the acquisition or merger negotiations, which will likely create a "about 100 crude oil tankers" monster".
3, DHT earlier acquired the BW group's 11 super large tanker (VLCC), which makes the number of DHT tanker fleet expanded to around 30.
4, the NYSE listed tanker owner Scorpio Tankers is the largest integrated with the Marshall Islands finished oil transportation company Navig8 Product Tankers, which created a fleet of 105 ships owned or ship financing lease ship and fleet 19 bareboat charter tanker, this is the listing of the largest oil tanker team.
5, Oslo listed ship owner Stolt-Nielsen is stripping its chemical tanker business from the group and is actively looking for partners.
6, focusing on the future, the Maersk tanker is considering merging with another tanker company, although its current integration activities are more focused on scaling up.