The listed entities of Cosco Group and China Shipping Group have all announced that the shareholders of the companies have passed the restructuring plan between the two groups in EGM meetings.
The restructuring plan includes Cosco taking over stakes in 33 affiliate companies of China Shipping Group and chartering containerships and containers from CSCL, and taking all dry bulk shipping assets private.
The combined entity, branded China Cosco Shipping Group, will become the world’s largest shipping line by quite some distance. With 783 vessels worth $22.95bn, the Chinese giant would be more than $10bn and 500 ships in front of second placed AP Moller Maersk, according to data compiled in August from VesselsValue.com. It would rank number one in the dry bulk and tanker trades in terms of fleet size and valuation while Alphaliner statistics show the merged pair would become the world’s fourth largest containerline.