German shipping line Hapag-Lloyd has decided to postpone its annual general meeting (AGM) scheduled for June 1, 2016 due to ongoing merger talks with United Arab Shipping Company (UASC).
The two companies are in negotiations over the merger of their container shipping activities, with the AGM postponement a strong indication that talks are likely to conclude swiftly and positively.
The deal will see Hapag-Lloyd, which took over CSAV 18 months ago, take a 72% stake in the new combined line, which would be worth $9bn and the world’s fifth largest containerline.
UASC has scheduled an extraordinary general meeting on June 2 at which its shareholders would vote on the proposed merger.
Hapag-Lloyd said its AGM will take place in August 2016 at the latest.