Filing Flows › International Seaways (INSW) › Takeover & LBO
Is International Seaways (INSW) a takeover target?
A leveraged buyout at today's price plus 30% ($145.53 a share) would return about 18% a year to a private-equity buyer over 5 years; the most a buyer could pay for a 20% return is $139.05 a share (24% against today's $111.95). Historically 3.6% of companies with its figures were bought within a year (0.71× the average).
The buyout, step by step
| Entry | Amount | How |
|---|---|---|
| Offer price a share | $145.53 | today's $111.95 plus 30% |
| × shares | 49.9 million | |
| = Equity value | $7.3B | |
| + Debt refinanced | $700M | |
| − Cash | $454M | |
| = Enterprise value | $7.5B | 6.0× EBITDA of $1.2B |
| Fees | $150M | 2% of the price |
| New debt | $4.9B | 3.9× EBITDA at 7.65% a year; the limit that binds: 65% of the price |
| Buyer's own money | $2.8B | 36% of the cost |
5 years under the buyer
| Year | Revenue | EBITDA | Interest | Free cash flow | Debt left |
|---|---|---|---|---|---|
| Year 1 | $1.6B | $1.3B | $373M | $792M | $4.1B |
| Year 2 | $1.6B | $1.3B | $313M | $861M | $3.2B |
| Year 3 | $1.6B | $1.3B | $247M | $941M | $2.3B |
| Year 4 | $1.7B | $1.3B | $175M | $1.0B | $1.3B |
| Year 5 | $1.7B | $1.4B | $95.9M | $1.1B | $116M |
The exit and the buyer's return
| Exit | Amount | |
|---|---|---|
| Exit multiple | 4.7× EBITDA | today's trading multiple, before any premium |
| Enterprise value at exit | $6.4B | |
| − Debt left | $116M | |
| = Buyer's equity | $6.3B | |
| Money multiple | 2.28× | on $2.8B put in |
| Buyer's yearly return (IRR) | 17.9% |
Price against return
What the buyer makes at other premiums over today's $111.95; the IRR reaches 20% at $139.05 a share.
| Premium | Price a share | Buyer's IRR |
|---|---|---|
| 10% | $123.15 | 25.4% |
| 20% | $134.34 | 21.6% |
| 30% | $145.53 | 17.9% |
| 40% | $156.73 | 14.3% |
| 50% | $167.93 | 10.7% |
The figures used
| Figure | Amount | |
|---|---|---|
| Revenue, last 12 months | $1.5B | |
| EBITDA, last 12 months | $1.2B | 80.5% of revenue |
| Depreciation and amortization | $163M | |
| Capital spending | $1.9M | |
| Debt | $700M | |
| Cash | $454M | |
| Share price | $111.95 | on Oct 30, 2026 |
Fixed rules, the same as the interactive view's starting point: the shares are bought at today's price plus 30%, the company's debt is refinanced and fees take 2%. New debt is the least of 5.5× EBITDA, 65% of the price and the amount whose interest EBITDA covers 2 times, at 7.65% a year (SOFR 3.89% plus the high-yield B spread 3.26% plus 0.5%, rates of Oct 15, 2026). Revenue grows 1.0% in the first year — the company's own rate, held between −3% and +8% — fading to 3% by year 5; the EBITDA margin, depreciation and capital spending stay at today's share of revenue; working capital takes 10% of each year's added revenue; tax is 12% of profit after interest. Every dollar of free cash flow repays debt. After 5 years the buyer sells at today's multiple of EBITDA.
What a takeover could cost
Takeovers in its sector paid a median premium of 40% over the share price before the deal (the middle half 14.7% to 60.2%), according to the 20 merger proxies and tender-offer responses on EDGAR that state a premium. At the median, International Seaways would cost about $156.73 a share, $7.8B for all its shares.
| Premium | % | Price a share | All shares |
|---|---|---|---|
| Low end (a quarter of deals paid less) | 14.7% | $128.41 | $6.4B |
| Median | 40% | $156.73 | $7.8B |
| High end (a quarter paid more) | 60.2% | $179.34 | $9.0B |
The odds, from history
Historically 3.6% of companies with its figures were bought within a year (0.71× the average). Its figures put it in decile 3 of 10 (10 = the most likely to be bought). The odds come from a model of every merger proxy, tender-offer response and going-private statement filed on EDGAR since 2011, set against each company's size, margins, debt, cash flow and growth the year before.
International Seaways' latest quarter
International Seaways, Q3 2026: revenue $483M (+146% year over year), operating margin 72.7%, net earnings $344M, operating cash flow $243M. The chart follows the revenue to costs, profit and cash.
Questions
Is International Seaways being acquired?
No headline, 8-K or 13D about a sale is on file in the last year.
Could private equity buy International Seaways?
A leveraged buyout at today's price plus 30% ($145.53 a share) would return about 18% a year to a private-equity buyer over 5 years; the most a buyer could pay for a 20% return is $139.05 a share (24% against today's $111.95).
What would a takeover of International Seaways cost?
Takeovers in its sector paid a median premium of 40% over the share price before the deal (the middle half 14.7% to 60.2%), according to the 20 merger proxies and tender-offer responses on EDGAR that state a premium. At the median, International Seaways would cost about $156.73 a share, $7.8B for all its shares.
Updated Nov 8, 2026. Read automatically from SEC filings and public data; errors are possible. Not investment advice.