China Merchants terminates Entrustment Agreement over 23% of China Nanshan
China Merchants Holdings (International) Company Limited held an Extraordinary General Meeting on 21 February 2013, the company reports. The resolution proposed at the EGM is to approve unconditionally the Termination Agreement, which was entered into between the company and China Merchants Holdings (Hong Kong) Company Limited (CMHK) on 28 December 2012 in relation to the termination of the entrustment agreement dated 18 June 2010 entered into between the company and CMHK, under which CMHK granted to the company the management rights and the power to direct the voting right over approximately 23% of the total issued share capital of China Nanshan Development (Group) Incorporation. The resolution proposed at the EGM was unanimously approved as an ordinary resolution.
Benefited from global economic resurgence, the company's container throughput in 2012 increased by 5.1%, and it is expected to be higer in 2013. Both volume and freight rate of shipping industry increased during the fourth quarter of 2012. The company's container throughput in January increased by approximately 12% over the same period of last year. An important factor is that last year's Spring Festival holiday was in January, so the base figure was comparatively lower than 2013. It is expected that the container throughput in 2013 would be higher than in 2012, and there will still be single-digit growth.