Bruton plans VLCC platform with Andes merger, eyes international listing

Bruton Limited announced its intention to become a pure-play modern VLCC company, mirroring successful payout models. The board will discuss a business combination with Andes Tankers II to create a low-leverage platform for monthly dividend payments. This move involves consolidating four VLCCs from New Times Shipyard; Bruton currently owns two, while Andes owns vessels #3 and #4.

Discussions are underway with New Times Shipyard to potentially equip Andes' vessels with dual-fuel LNG propulsion, similar to Bruton's fleet. This aligns with potential benefits from the IMO's Net-Zero Framework for global CO2 taxation on shipping, which is being voted on in October 2025. Bruton has secured financing proposals covering up to 85% of its vessels' construction costs and plans an initial equity raise of up to $100m.

Drew Holdings Ltd, Bruton's largest shareholder with 48% ownership and a 21% stake in Andes, supports the proposed consolidation and equity offering. If the combination with Andes is successful, Bruton intends to pursue a listing on a reputable international stock exchange, in addition to its existing Euronext listing, while seeking further fleet expansion opportunities.