Cosco Shipping Energy Transportation is consolidating its parent company’s chemical product supply chain assets to strengthen its position in the global chemical logistics market.
The recently established Dalian Cosco Shipping Energy Transportation Supply Chain Company merges Cosco Shipping’s LPG and chemical products’ transportation, warehouse and logistics assets.
“The asset consolidation will improve the company’s service ability in chemical and energy logistics sectors and optimise the overall business performance,” Cosco Shipping Energy Transportation said in a statement.
The new company will sign share acquisition and assets purchase agreements with Shanghai Cosco Shipping and Cosco Shipping Dalian Investment to acquire a 70% equity stake in Shenzhen Cosco Longpeng LPG Shipping, which operates six LPG vessels.
It will also acquire an 87% stake in Hainan Zhaogang Shipping, which operates in LPG shipping; 15% equity in Dalian Xizhongdao Zhonglian Port Company; two LPG vessels and a 100% stake in both Shanghai Cosco Shipping in Cosco Shipping Chemical Carrier and Cosco Shipping (Hong Kong).
The company will have a fleet of 14 LPG carriers, including two currently under construction, and 10 chemical tankers.
