File photo: CMA CGM Group
PARIS, May 25 (Reuters) – CMA CGM, the world’s third-largest container shipping firm, is to go ahead with its planned acquisition of Singapore’s Neptune Orient Lines (NOL) after receiving regulatory clearance from China, the French group said.
CMA CGM received on Wednesday confirmation of the deal’s approval by the anti-monopoly Bureau of the Chinese Ministry of Commerce (MOFCOM), it said in a statement.
“With regulatory approvals now received from MOFCOM and the European Commission on its proposed voluntary general cash offer for NOL as announced on 7 December 2015 (Offer), CMA CGM expects to announce the Offer by June 2, 2016 (before 7 a.m.) at the latest,” it said.
The European Commission gave its approval to the deal at the end of April.
The takeover offer worth $2.4 billion marks CMA CGM’s biggest ever acquisition and comes as container lines seek to cope with a severe market downturn through greater scale.
The Marseille-based, family-owned firm swung to a net loss in the first quarter due to weak freight rates, although it said its volumes continued to grow faster than the industry average.
(Reporting by Gus Trompiz; Editing by Andrew Callus)
(c) Copyright Thomson Reuters 2016.
Join the gCaptain Club for curated content, insider opinions, and vibrant community discussions.
Join the 105,965 members that receive our newsletter.
Have a news tip? Let us know.
ROME (Reuters) – An Italian judge on Friday cleared three migrant sea rescue charities that had been accused of abetting irregular immigration in complicity with human traffickers, throwing out a case opened...
(Bloomberg) — The closure of one of the East Coast’s busiest ports after the collapse of Baltimore’s Francis Scott Key Bridge has so far not led to broad price increases,...
(Bloomberg) — An Iranian ship that’s been linked to Houthi attacks in the Red Sea is returning home, removing a prominent asset in the area as the Islamic Republic braces...
Access exclusive insights, engage in vibrant discussions, and gain perspectives from our CEO.
Sign Up
Maritime and offshore news trusted by our 105,965 members delivered daily straight to your inbox.
Essential news coupled with the finest maritime content sourced from across the globe.
Sign Up
Join The Club
