China Cosco Holdings Co News

Following the sale of Hamburg Süd to Maerskfor $4 billion, VesslesValue senior analyst William Bennett has compiled a report on the top consolidated container fleets. Currently these top five fleets are worth $33.4 billion and account for 33 percent of the entire container fleet. Maersk have confirmed rumors that they will acquire German container shipping line Hamburg Süd. Hamburg Süd’s strong position in north-south trades will complement Maersk's current business. Maersk is thought to have paid roughly $4 billion for Hamburg Süd whose fleet is worth $1.5 billion.

Asia’s largest container shipping company China Cosco Holdings Co  posted a net loss of Yuan7.2bn ($1.1bn) for the first six months of 2016, reversing the Yuan2bn net profit seen during the same period last year as excess capacity dragged down cargo rates. China COSCO is part of China Cosco Shipping Corporation (COSCOCS), a shipping giant created earlier this year from the state-driven merger of former rivals China Ocean Shipping (Group) Company and China Shipping Group. China COSCO said in a statement that global container shipping market has been sluggish since the second half of 2015, with freight rates at record lows. While revenues rose by 2.6 per cent to Yuan29.63bn for the six months ended June, costs rose by more than 16 per cent to Yuan31.13bn.

China COSCO Holdings Co Ltd fell to a first-half loss hurt by a persistent slump in the global container market, the world's fourth largest container shipper said on Thursday. COSCO Shipping reported a first-half loss of 7.2 billion yuan ($1.08 billion yuan) versus a profit of 1.9 billion a year earlier, the company said in a filing to the Shanghai stock exchange. COSCO is grappling with weak global demand that has dragged down the sector. In the first quarter, it reported a net loss of 4.5 billion yuan. China COSCO is part of China Cosco Shipping Corporation (COSCOCS), a shipping giant created earlier this year from the state-driven merger of former rivals China Ocean Shipping (Group) Company and China Shipping Group.

Shares of Cosco Group and China Shipping have taken a hammering on the stock markets  as two major companies lost about $900 million in total market value after the government proposed combining its two key ocean liner groups, reports Bloomberg. China’s shipping giants led the declines with drops of as much as 30 percent, the most on an intraday basis in more than 10 years. The shares had been halted from trading since August pending an announcement by their parent companies. Cosco  shares have been suspended from trading since August 11, after it was reported that its majority shareholder Cosco Group is eyeing a privatisation exercise for the struggling shipping company.

China COSCO Holdings Co Ltd says it has received ship scrapping subsidies for about 3.96 billion yuan ($638.71 million). It came through China Ocean Shipping, the controlling shareholder of the company, for the decommissioning and upgrading of vessels. “The subsidy was recognized as non-operating income and will be included in the profit and loss of the company for the year ending 31 December 2015 to compensate the losses suffered by the company due to the advanced disassembling of the vessels,” Cosco said in a stock exchange filing. The subsidies were received by Cosco on 30 June 2015. The brief statement by Cosco, however, did not mention the period of the ship scrapping and newbuilding activities covered by the subsidy.

The Shanghai-and-Hong Kong-listed flagship unit of China Ocean Shipping Group, China Cosco Holdings Co Ltd says that its 2014 net profit went up 54 percent y/y at 362.5 million Yuan ($58.37 million), on government subsidies for scrapping old tonnage. Excluding one-off gains, its loss narrowed 81% y/y to 1.4 billion Yuan due to slump in fuel costs and contraction of its chartered-in fleet, according to the company's stock filing on 27 March. China Cosco said it would have made a loss of 1.38 billion Yuan without factors such as the subsidies and money raised from a share sale. "With the market still remaining subdued, the outlook for the shipping market in 2015 is not optimistic," it said in its statement.

China Ocean Shipping Group Co (COSCO) returned to profit in 2014 after three years of losses, state media said on Saturday, citing an interview with the group's chairman. The state-backed shipping conglomerate, which controls China COSCO Holdings Co Ltd , had a profit of 5.04 billion yuan ($809.26 million) last year, said Ma Zehua, according to the official Xinhua news agency. Operating revenues were up 2 percent year-on-year, said Xinhua without providing a figure, while COSCO's asset to liability ratio fell 4.4 percentage points to 55.4 percent at the end of 2014. COSCO is now targeting annual profitability of between 4 and 5.5 percent by 2020, said Xinhua. On Monday, the group said it had received a $1.75 billion loan from the Export-Import Bank of China with which to buy 53 new ships.

China Ocean Shipping (Group) Company has received a $1.75 billion loan from the Export-Import Bank of China to buy 53 new ships, which it plans to order from Chinese shipyards, the firm said on Monday. The state-backed shipping conglomerate, which controls China COSCO Holdings Co Ltd , said the ships would include oil tankers, container ships and dry-bulk vessels, which would help replace 100 vessels the firm has scrapped in the last two years. It said the agreement with China Export-Import Bank was signed on Friday. Reporting by Brenda Goh

China COSCO Holdings Co. Ltd, the country's largest shipper, indicates a profit turnaround in 2013 after suffering heavy losses for two consecutive years, reports Xinhau. According to COSCO's earlier, 2013, financial report, the Shanghai-listed company made cutting operational costs a major task for 2013. The Group carried out various measures to overcome the difficulties, including the disposal of its interest in COSCO Logistics and COSCO Container Industries and stringent cost control.

Cosco says Vale shuns Its vessels because of China's ban on Vale's mega-ships Bloomberg News reports that  China Ocean Shipping (Group) Co., the nation’s biggest operator of dry-bulk ships, has said Vale SA (VALE3) was refusing to use its vessels in protest over a Chinese Government ban on the Brazilian miner’s mega-ships. The state-owned company, known as 'Cosco', expects a “big” impact on operations from the boycott and it’s considering filing a complaint with China’s Ministry of Commerce, President Ma Zehua stated in Beijing. Vale, the world’s biggest iron-ore producer, has shunned unit China Cosco Holdings Co.’s fleet for about two months, even if it meant using more expensive ships from other owners, Ma Zehua said.

According to Bloomberg, Seaspan Corp., will lease eight container vessels to a unit of China Cosco Holdings Co. for $1.9b. Cosco Container Lines Co., will pay a daily fee of $55,000 a vessel during the 12-year contract, Seaspan said. The Seaspan vessels are designed to carry 13,100 standard containers measuring 20 ft. in length, among the largest ships of their kind. They are scheduled for delivery in 2011. Source: Bloomberg

Reuters reported that China COSCO Holdings Co. Ltd. would spend $516.8m to build eight container ships. Each ship would be able to carry the equivalent of 5,100 20-ft. containers. The company said in a statement that Jiangnan Shipyard (Group) Co. Ltd., a unit of China State Shipbuilding Corp. Ltd., would build the ships. The first two would be delivered on June 30, 2009 and the other six would be delivered in pairs in October 2009, February 2010 and June 2010.