CIMC Plans $928 Million Share Sale
The world’s biggest maker of shipping containers China International Marine Containers Group Co. (CIMC) plans to raise 6 billion yuan ($928 million) selling shares to fund an expansion of a business park in Shenzhen and other assets, reports Bloomberg. CIMC will sell yuan-denominated stock to a maximum of 10 investors, it said in a filing April 9. CIMC’s expansion of diversified businesses comes amid a global slump in container-shipping rates and overcapacity in the sea-freight market. Shipping lines worldwide have been selling assets and exploring consolidations to stem losses as the fees they charge customers plunged after years of slowing trade and overcapacity.
Cosco Pacific Beats Profit Estimate
Cosco Pacific Ltd.'s 2015 net profit rose 30% from a year earlier on the back of a write back of a provision. It recommended a final dividend of 22.9 Hong Kong cents a share. The full-year net profit was US$381.6 million compared with US$292.8 million a year earlier. The improved earnings were lifted by a write back of a provision from the sale of its 21.8% stake in China International Marine Containers (Group) Co. Full-year revenue fell 8.3% to US$798.2 million from US$870.1 million the previous year, as the euro and Chinese yuan depreciated against the U.S. dollar during the year. Gross profit from the container leasing, management and sale businesses recorded a 15.7% decrease compared with last year.
ABB Wins $23 Million Orders for 14 Containerships
Power and automation technology group ABB won two orders in the third quarter to provide the waste heat recovery systems, each powered by a power turbine generator (PTG), for 14 new 8,800 TEU (twenty-foot equivalent unit) container vessels. The first seven post-panamax vessels will be built at Dalian Shipbuilding Industry Co. Ltd., (DSIC) and the other seven vessels at New Times Shipbuilding Co. Ltd., for China International Marine Containers Group Co. and Mediterranean Shipping Co. S.A (MSC).
Business Briefs
Setting sail again, a newly built replica of the Jeanie Johnston, the Irish emigrant ship that rescued thousands from the Great Famine, will voyage from Ireland to North America and visit cities this summer and fall throughout the U.S. The eight-month tour, with stopovers in 23 U.S. and Canadian cities, is expected to arrive mid-June in Washington, D.C. and will be greeted by President Bill Clinton. The ship will then join more than 200 tall ships, 500 U.S. and foreign naval vessels and 50 to 70 thousand spectator crafts from all over the world in New York Harbor's OpSail 2000 Parade of Sail, the largest maritime event in world history.
Hanjin Buys $120M Worth Of Containers
South Korea's Hanjin Shipping Co. Ltd. has reportedly ordered 43,000 containers worth about $120 million from Jindo Corporation and China International Marine Containers (Group) Co. The orders are equivalent to 70,750 teu, officials said. The company plans to replace old containers with the new ones by October.
