Hamburg Süd sells off bulk shipping activities

Hamburg Süd and The China Navigation Company (CNCo), a subsidiary of the Swire Group, have reached agreement that will see the acquisition by CNCo of the bulk shipping business of Hamburg Süd which includes Rudolf A Oetker (RAO), Furness Withy Chartering and the bulk activities in Alianca Navegacão (Aliabulk).

“With this step, Hamburg Süd is focusing as planned on its liner business with its two container shipping brands, Hamburg Süd and Aliança,” says chairman Dr Arnt Vespermann. “As part of Maersk, the world’s largest liner shipping company, this clear focus is a logical step. At the same time, CNCo is an established and well-respected company in bulk shipping that is on a growth course in this segment and therefore constitutes a good new home for RAO, Furness Withy and Aliança Bulk.”

Headquartered in Singapore, CNCo is the wholly owned deep-sea ship owning and operating division of the multinational Swire Group. The company employs around 2 500 staff globally and owns and operates about 135 vessels consisting mainly of dry bulk carriers and multipurpose liner vessels. 

Closing of the agreement is expected by the end of the first quarter of 2019, subject to regulatory approval. The parties have agreed not to disclose the sales price. The RAO Tankers business unit is not included in the sale and will remain part of the Hamburg Süd Group.