COSCO Investment Seeks New Opportunities

COSCO Investment (Singapore) Ltd. is looking at opportunities to invest in the shipping business in China and in Southeast Asia. These opportunities involve "outright purchase or co-investment," COSCO said. It noted that it had already located potential targets and started negotiations with relevant parties in China, but no final agreements have been reached. "It is intended that investments in shipping-related businesses in China will form a very significant part of COSCO Investment's business in the future," it said. The group said it would continue to expand its core dry bulk shipping business, and was close to reaching an agreement to sign contracts to take delivery of another two new ships in April and August. "Freight rates are reasonable at the moment and profit prospects are strong," it added. It said its Internet business unit, COSCO Network, will produce considerable cost savings for the group by enhancing its existing use of telecoms and procurement services. COSCO group companies have also guaranteed most of the anticipated revenue of COSCO Network, it said, adding that its prospects are "promising." - (Reuters)