China Merchants Energy Shipping (CMES), the shipping unit of China Merchants Group, has announced that it will acquire 100% equity shares in Sinomarine, the integrated shipping platform of Sinotrans & CSC for RMB3.58bn ($546m).
Sinomarine was established in November 2015 as the management entity for all the shipping operations of Sinotrans & CSC including containers, dry bulk, multipurpose, tankers and roro.
CMES will issue 761m new shares to Sinomarine to complete the deal.
The transaction is expected to further integrate the shipping assets between China Merchants Group and SInotrans & CSC following the completion of a merger between the two groups in April.
Last week, Sinotrans reached an agreement to acquire the entire capital of China Merchants Logistics Holding for RMB5.45bn via new share issue.