China Shipping Container Lines (CSCL) has announced that it has signed an agreement with Jichai Power, an affiliate company of energy major China National Petroleum Corporation (CNPC), to invest RMB950m ($142m) in the latter.
CSCL has changed its business focus to financing and leasing business since the completion of the ongoing merger between Cosco and China Shipping. It has also proposed a name change to Cosco Shipping Development.
CSCL said the deal will help the company seek potential financing business opportunities from CNPC.
CNPC is currently restructuring loss making Jichai Power into its major financing platform, and plans to transfer about RMB75.5bn ($11.3bn) of financing assets into the company.