• 2017 April 28 11:36

    Maersk Line and Hamburg Süd sale and purchase agreement approved

    Maersk Line and Hamburg Süd sale and purchase agreement approved by boards of Maersk Line and Oetker Group, the company said in its press release.

    On 1 December 2016, Maersk Line announced its intention to acquire Hamburg Süd, the German container shipping line, and on 14 March 2017, Maersk Line announced the signing of a sale and purchase agreement with the Oetker Group, owner of Hamburg Süd.

    Today, the sale and purchase agreement for Maersk Line’s acquisition of Hamburg Süd was approved by the boards of Maersk Line and the Oetker Group. The acquisition still remains subject to regulatory approvals.

    Maersk Line will acquire Hamburg Süd for EUR 3.7 billion on a cash and debt-free basis. Maersk Line will finance the acquisition through a syndicated loan facility.

    “Today, we have taken a decisive step towards the shared future of Maersk Line and Hamburg Süd. Our due diligence confirmed that Hamburg Süd is a well-run company with strong and highly respected brands. We have confirmed the anticipated synergies and we are convinced that our plan to maximize customer retention is the right path forward. I have no doubt that together we can develop new competitive products to the benefit of our customers and exploit operational synergies. The acquisition is cementing our position as the largest and leading carrier in container shipping, and it will provide great opportunities for the employees of both companies,” says Søren Skou, CEO of Maersk Line and A.P. Moller – Maersk.

    The acquisition is in line with the Maersk Line’s growth strategy. It represents a unique opportunity to combine two complementary businesses and realise sizable operational synergies as well as commercial opportunities. Combined, the two companies will be able to realise operational synergies in the region of USD 350-400 million annually over the first couple of years following completion of the transaction.

    Hamburg Süd will maintain its own structure hereunder its separate brands and is expected to deliver a high customer retention adding to Maersk Line’s growth agenda.

    The combined network will include increased number of weekly sailings, faster transit times, more port calls, more direct port-to-port calls and less need for transhipment, to the benefits of both Maersk Line and Hamburg Süd customers.

    The cost synergies will primarily be derived from integrating and optimizing the networks as well as standardized procurement. In addition, APM Terminals’ global portfolio will benefit from increased volumes, specifically the many investments made in the Latin America Region.

    “We consider the purchase price of EUR 3.7 billion a fair valuation of Hamburg Süd. By keeping Hamburg Süd as a separate and well-run company, we will limit the transaction and integration risks and costs while still extracting the operational synergies. The acquisition of Hamburg Süd will therefore create substantial value to Maersk Line already in 2019,” says Søren Skou.

    To continue and strengthen the future growth of Hamburg Süd, Maersk Line emphasizes its plans to preserve the customer value proposition of Hamburg Süd. It also commits to maintain the presence of Hamburg Süd in Hamburg, Germany, and has agreed to lease the local head office, initially for a period of five years.

    “Hamburg Süd has a strong brand and an attractive customer value proposition. We believe these elements are key for our acquisition to become a success. Therefore, Hamburg Süd will remain under own management and with full brand responsibility,” says Søren Skou.

    “We see the acquisition of Hamburg Süd by Maersk Line as a natural development and we are convinced that Hamburg Süd will thrive under continued own management and maintain not only the services offered to its customers, but also provide its employees a fantastic opportunity to continue shaping the future of the industry as a leading service provider,” says Dr. Ottmar Gast, Chairman of the Hamburg Süd Executive Board.

    With the acquisition, Maersk Line and Hamburg Süd will have a total container capacity of around 3.9 million TEU (3.3 million TEU) and an 18.7% (16.0%) global capacity share (Alphaliner per 24 April 2017). The combined fleet will consist of 743 container vessels.

    The process of obtaining regulatory approvals is on schedule. On 23 March 2017, the US Department of Justice approved the proposed acquisition and on 10 April 2017, the EU Commission approved the proposed acquisition, subject to conditions.

    Maersk Line expects to close the transaction by the end of 2017. Until then, Hamburg Süd and Maersk Line will continue business as usual as separate and independent companies.

    About Maersk Line
    Maersk Line is the world’s largest container shipping company, known for reliable, flexible and eco-efficient services. Maersk Line provides ocean transportation in all parts of the world. Maersk Line serves its customers through 317 offices in 112 countries. Maersk Line markets its services through the Maersk Line, Safmarine, SeaLand (Intra-Americas), MCC Transport (Intra-Asia) and Seago Line (Intra-Europe) brands. Maersk Line is part of the Maersk Group, headquartered in Copenhagen, Denmark. The Group employs over 88,000 people in some 130 countries. 2016 revenue: USD 35.4 billion.




2018 April 25

18:31 Westcon appeals the court judgement regarding the TSV Safe Scandinavia conversion
18:18 Three-day event held in Papua New Guinea focused on safety of domestic ferries
18:16 Fast ferry for Angolan Transport Ministry launched at Damen Shipyards Singapore
18:12 DNV GL develops offshore safety guidance for Greek Regulator
17:56 Sredne-Nevsky Shipyard launches yet another minesweeper of Project 12700
17:29 Qatargas delivers its first LNG cargo to Bangladesh as part of agreement with Petrobangla
17:02 Russian Railways announces 2017 Consolidated Results under IFRS
16:37 Polskie LNG CEO Paweł Jakubowski: LNG terminal extension program is speeding up
16:05 Wärtsilä partners with the Maritime and Port Authority of Singapore to promote maritime technologies
15:48 Profit attributable to shareholders of NOVATEK decreased by 39.3% to RUB 43.1 billion
15:30 Volga Shipping Company opens navigation on the Upper Volga river
15:14 MOL expands its NVOCC business with the unified brand "MOL Worldwide Logistics"
15:06 BWMS manufacturers and stakeholders set up new association BEMA
14:55 Innovative Damen RSD Tug 2513 kicks-off introduction tour in Italy
14:09 Ilari Kallio appointed Chief Digital Officer at Konecranes
13:20 Nakilat records 13% increased profits for the first quarter of 2018
12:59 Philippines accedes to air pollution and energy efficiency rules
12:33 Cruise season begins at the Port of Gdansk
12:09 HELCOM progresses firmly towards reducing input of pollutants into the Baltic Sea
11:51 8,791 ships are fitted out with the GLONASS navigation equipment - Dmitry Rogozin
11:28 All seaports in Crimea will be fully equipped with GLONASS system in 2018 - Dmitry Rogozin (photo)
11:09 Keppel Offshore & Marine signs MOU with MPA and TCOMS to jointly develop autonomous vessels
10:50 LUKOIL BoD recommends dividend distribution for 2017 in the amount of RUB 215 per ordinary share
10:26 Brent Crude futures price up 0.08% to $73.8, Light Sweet Crude – down 0.13% to $67.61
10:09 WinGD wins marine propulsion Emissions Reduction Award
09:45 Bunker prices are going up at the Port of Saint-Petersburg, Russia (graph)
09:20 Baltic Dry Index up to 1,306 points
09:08 The Port of Rotterdam welcomes IMO’s first step in reducing CO2 from shipping
08:17 Keppel on track to deliver South East Asia’s first LNG powered tug

2018 April 24

18:43 GAC South Africa expands into Port Elizabeth
18:29 Summa Group and Rosneft denied holding negotiations on Novorossiysk Commercial Sea Port
17:30 Future perspectives for maritime industry to be studied at Maritime Future Summit (MFS) during SMM
17:06 PSA and GeTS to develop new global trade facilitation & supply chain platform “Calista™”
16:47 Safety and innovation on the agenda for Danish Maritime Days
16:26 Fincantieri delivers FREMM “Federico Martinengo” to the Italian Navy
16:04 British Ports Association calls for funding commitments to deliver on welcome first steps on port connectivity
15:35 NIBULON transports Ukrainian metal by water
15:04 STASCo signs contract with BMT for navigation simulator REMBRANDT
14:37 ESPO applauds EU role in achieving the IMO agreement on CO2 reduction target for shipping
14:28 Tallink Group’s consolidated revenue in 2017 amounted to EUR 967.0 million
14:04 Seafarer issues to be highlighted during 105th session of IMO's Legal Committee
13:32 HHLA to strengthen and expand its intermodal activities through its rail subsidiary Metrans
12:56 Bunker prices are going down at the Far East ports of Russia (graph)
12:33 Aleksey Kadilov elected as Director General of Baltiysky Zavod (photo)
12:09 US Federal Maritime Commission to examine trucking & delivery arrangements
11:45 Russia’s General Board of State Expert Review approves yet another phase of project on construction of Zvezda shipyard (photo)
11:09 CMA CGM announces GRR from Asia to East Africa
10:45 Foreship takes world’s leading CFD simulation software, StarCCM+ into use
10:30 ABP shortlisted for two Humber Renewables Awards
10:22 Brent Crude futures price down 0.04% to $74.03, Light Sweet Crude – down 0.13% to $68.31
10:08 Nakilat is the first company in Qatar certified for ISO45001
09:39 Freeport of Riga Authority along with several port companies visited TransRussia 2018
09:17 Baltic Dry Index up to 1,306 points
09:08 Compensation regime for Hazardous and Noxious Cargoes a step closer - IMO
08:48 City of Antwerp and Antwerp Port Authority start urban mission to Moscow and St. Petersburg

2018 April 23

18:06 World’s largest short sea Ro-Ro vessel MV Celine christened at Dublin Port
17:52 Digital Ship’s Maritime Big Data Forum will be held on 29 May 2018 in Oslo
17:36 Ocean Rig announces agreement to postpone delivery of newbuilding drillship Ocean Rig Santorini
17:20 Construction of Bagayevsky hydrosystem begins in Rostov Region (photo)
17:05 ITF urges Hutchison Ports to improve global health and safety operations