It came as a number of banks behind the IPO launched coverage of the company, with UBS suggesting a number of potential acquisition targets sit in wait.
New York-listed Gener8 says 1,882,223 shares have been taken by its underwriters at a discount to the $14 per share offer price.
Gener8, which raised $210m from its float, had granted underwriters the option take in up to 2,250,000 shares.
Citigroup, UBS, Jefferies and Evercore were joint book running managers and DNB Markets and SEB as senior co-managers of the offering. DVB Capital Markets, ABN AMRO, Pareto Securities and Axia were the co-managers.
Growth and profit
Today a number of banks took up coverage of the company, which is set to become the largest tanker owner listed on Wall Street when its 21 newbuildings are all delivered.
Jefferies labelled Gener8 a buy, today, as did Evercore and UBS.
Spiro Dounis of UBS said: “Upside could come from ongoing acquisitions as the company embarks on a consolidation strategy; we estimate an additional 10-20 newbuildings and 60-70 on the-water VLCCs could be acquisition candidates for GNRT.”
Evercore’s Jonathan Chappell said: “We continue to believe that the current tanker market strength has legs for at least the next 18-24 months, driven by robust tanker demand growth (fuelled by near-record OPEC supply) and a moderate capacity expansion outlook,” said.
“As such, we believe GNRT's 90% spot market exposure in 2015 and 99% in 2016 positions it well to benefit from the very profitable rate environment.”
He expects a profit of $142.2m in 2015 to be followed by a $204.2m gain in 2016.
