CMA CGM in the mix for Hamburg Süd
2016-11-30 09:28

CMA CGM in the mix for Hamburg Süd

[Hamburg Süd vessel]Alphaliner, the French container analysts, have added CMA CGM into the mix as possible buyers of Germany’s Hamburg Süd. The family running the German containerline is understood to be discussing a sale in the wake of the dramatic consolidation seen in the sector in the past 18 months which has left the container operator dangerously exposed. Hamburg Süd is the world’s seventh largest containerline, but crucially it does not belong to any present or future box alliance.

“While Maersk is widely regarded as the front runner to take over Hamburg Süd, as it has the strongest balance sheet to finance such an acquisition, the carrier could face a strong challenge from CMA CGM, which appears keen to maintain growth momentum after completing the acquisition of APL in June this year,” Alphaliner stated in its most recent report.

“CMA CGM’s heavy debt burden could however limit the price that that carrier would be prepared to pay for Hamburg Süd, through this has not deterred the French carrier from putting in a bid,” Alphaliner added.

Other candidates who could bid for the line, mentioned by the Wall Street Journal, who first reported the sale, include Hapag-Lloyd and Cosco.

The Wall Street Journal has also reported in recent weeks that Israel’s ZIM is hawking its larger ships and most overseas networks in a bid to slimline and continue just as an intra-Mediterranean player.

In the event that both Hamburg Süd and ZIM do achieve their sale ambitions, attention will inevitably turn to the two remaining mid-sized containerlines, Yang Ming and OOCL.


Source: Splash 24/7 (LF)

Source: Splash 24/7