CMA CGM linked with NOL takeover

CMA CGM linked with NOL takeover

French containerline CMA CGM is carrying out due diligence with a view to taking over Singapore’s Neptune Orient Lines (NOL), according to Bloomberg.

The business newswire says Maersk is also in discussions to take over NOL, which runs containerline APL.

Temasek Holdings, Singapore’s sovereign wealth fund and majority shareholder in NOL, put its NOL stake up for sale earlier this year.

Bloomberg claims CMA CGM has already put in a preliminary offer for NOL. The Singapore company has a market value of $2.7bn.

Amid intense consolidation speculation within the container trades, CMA CGM’s acquisition of NOL would consolidate its third position place in the global liner league, behind MSC and Maersk. It would otherwise risk losing third spot to a combined China entry if, as expected, China Shipping and Cosco initiate a merger in the coming weeks.

Sam Chambers

Starting out with the Informa Group in 2000 in Hong Kong, Sam Chambers became editor of Maritime Asia magazine as well as East Asia Editor for the world’s oldest newspaper, Lloyd’s List. In 2005 he pursued a freelance career and wrote for a variety of titles including taking on the role of Asia Editor at Seatrade magazine and China correspondent for Supply Chain Asia. His work has also appeared in The Economist, The New York Times, The Sunday Times and The International Herald Tribune.

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