STOCKHOLM ? Bermuda-based tanker company Nordic American Tanker Shipping Ltd. (NAT) yesterday has begun a public offering of 3.5 million common shares pursuant to its effective shelf registration statement.

The company said the net proceeds of the offering would be used to repay any amounts borrowed under its senior secured credit facility to finance the acquisition of two additional Suezmax tankers that it has agreed to purchase, to pay the remaining balance of the aggregate purchase price of the two additional Suezmax tankers and for general corporate purposes, including any future vessel acquisitions.

Bear, Stearns & Co. Inc. and UBS Investment Bank will act as joint book-running managers and DnB NOR Markets Inc. will act as a co-manager.

The company said it would grant the underwriters an option to purchase an additional 525,000 common shares to cover any over-allotments, exercisable within 30 days.