Thursday , 19 September 2019
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No floatation yet for Hapag-Lloyd and CSAV

After receiving the remaining regulatory approvals this week that cleared the way for its merger with Chile’s Compania SudAmericana de Vapores (CSAV), Germany’s shipping group Hapag-Lloyd has told Reuters that it is in no rush to list its share on the stock exchange.

According to Hapag-Lloyd’s chief executive, Rolf Habben Jansen, a stock market flotation is currently not a “top priority; he added that the company would first focus on integrating CSAV into its business.

However, he indicated that in the long term the company would aim to launch an initial public offering (IPO); however, this could be at the end of 2015 or early 2016.

The combined company will become the fourth largest container shipping line, operating around 200 vessels, with a total capacity of approximately 1m teu.  In a single year the company will handle around 7.5m teu with revenue of US$12bn.

Reuters reported that Hapag-Lloyd had said that it would execute a planned capital increase worth €370m (US$459m) by the end of this month (December), which will make CSAV its biggest shareholders with a 34% stake.

The main steps to integrate the two companies should be completed by the end of the second quarter 2015.