Shanghai-listed Shanghai International Port (Group) (SIPG) plans to acquire 79.2% of Shanghai Jinjiang Shipping (Group) for as much as CNY1.9 billion (USD313.2 million).
SIPG will acquire the stake from Shanghai International Group and Shanghai Jiushi Corporation, a stock filing of SIPG said today. The two companies, which respectively hold 48% and 31.2% of Shanghai Jinjiang Shipping, are state-owned investment and shareholdings companies in Shanghai.
On the short-sea box shipping side, SIPG owns Shanghai Hai Hua Shipping (HASCO).
Shanghai Jinjiang Shipping, established 1983, is a Shanghai-based container carrier involved in short-sea box shipping in East Asia, with services from China to Japan, Thailand and Vietnam. Shanghai Jinjiang Shipping also operates two warehouses in Waigaoqiao area, Shanghai, which are adjacent to the Waigaoqiao port.
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In 2013, Shanghai Jinjiang Shipping posted profit of CNY75.6 million on revenue of CNY1.6 billion. The company’s net equity totalled CNY2 billion as of the end of 2013.
According to IHS Sea-Web.com, Shanghai Jinjiang Shipping currently operates 13 box ships ranging in capacity from 668 teu to 1,100 teu.
HASCO operates seven box ships, with six box ships on order.