Hamburg Süd will sell its bulk shipping business to The China Navigation Company (CNCo).
CNCo is a subsidiary of the Swire Group. Hamburg Süd's bulk shipping business includes Rudolf A. Oetker (RAO), Furness Withy Chartering and the bulk activities in Alianca Navegacão (Aliabulk). Closing of the agreement is expected by the end of the first quarter of 2019, subject to regulatory approval. The parties have agreed not to disclose the sales price. The RAO Tankers business unit is not included in the sale and will remain part of the Hamburg Süd Group.
Chartered Fleet of 45 Vessels
The bulk shipping business in Hamburg Süd operates from Hamburg, London, Melbourne and Rio de Janeiro with a chartered fleet of approximately 45 vessels in the segments: Handysize, Supra/Ultramax and Kamsarmax/Panamax. Whereas liner shipping activities in Hamburg Süd involves transporting cargo in containers, bulk shipping involves flexibly transporting dry goods – such as agricultural raw materials, ore and steel – in bulk carriers from port to port worldwide.
Focus on Liner Shipping
'With this step, Hamburg Süd is focusing as planned on its liner business with its two container shipping brands, Hamburg Süd and Aliança,' says Dr. Arnt Vespermann, CEO of Hamburg Süd. 'As part of Maersk, the world’s largest liner shipping company, this clear focus is a logical step. At the same time, CNCo is an established and well-respected company in bulk shipping that is on a growth course in this segment and therefore constitutes a good new home for RAO, Furness Withy and Aliança Bulk.'
CNCo
CNCo, headquartered in Singapore, is the wholly owned deep-sea ship owning and operating division of the multinational Swire Group. The company today employs around 2500 employees globally and owns and operates about 135 vessels consisting mainly of dry bulk carriers and multipurpose liner vessels. Swire Bulk, its dry bulk trading business, was established in 2012 and trades a modern fuel-efficient fleet of over 100 Handysize and Supra/Ultramax vessels comprised of owned, long term and short term-chartered tonnage.
Picture: Hamburg Süd will focus on its liner activities, such as with its container vessel Cap San Nicolas (picture by Hamburg Süd).
