The Baltic Exchange says it will engage with the newly formed panellist group Competitive Ship Brokers Limited (CSBL), comprised of some panellists opposed to the Baltic’s proposed acquisition by the Singapore Exchange.
The current members of CSBL are Arrow, Banchero-Costa, BRS, Exeno Yamamizu, Fearnleys, Hartland, Ifchor, LSS, Rigel and Thurlestone, who intend to invite other broking shops to join too.
CSBL says it will continue to supply data to the Baltic but has complained that “many of the major international shipbroking firms feel a need to have a single voice in a challenging market environment which is undergoing significant change”.
Today, the Baltic responded by saying it is conscious that “it would be to the benefit of the market as a whole, if the informal relationship it has with its panellists was put on a more formal footing.”
The Baltic says it is in consultation with its current panellists to identify the issues that need to be addressed and improve the benefits received by current panellists. So far, no agreement has been struck.
“Our current discussions with panellists form part of our wider discussions with Singapore Exchange (SGX). It is our intention to agree with SGX a standard panellist contract that addresses all issues of significance for panellists (including those which have been raised by CSBL), whilst also outlining proposals to enhance the governance and independence of the Baltic,” said Guy Campbell, Baltic Exchange chairman, in a release.
“When these proposals are finalised, we are confident they will be recognised as a welcome evolution of the status quo. We do not view this potential acquisition as a threat to panel members but rather as a very interesting commercial opportunity for them that also fully protects the interests of their principals.”
