Seaspan adds 18 boxships with $380m GCI deal

Seaspan adds 18 boxships with $380m GCI deal

Canada’s Seaspan has acquired the remaining 89% equity interest of Greater China Intermodal Investments (GCI) from affiliates of The Carlyle Group and the minority owners of GCI.

The total consideration of the deal will be cash of approximately $330m and a $50m issuance of Seaspan Series D preferred shares.

GCI currently owns a fleet of 18 containerships with total capacity of 204,000 teu. Of the 18 vessels, there are currently 16 vessels in operatios with the remaining two newbuild vessels scheduled for delivery during the second quarter of 2018. Seaspan has been involved in the design, construction, delivery and operations of all these vessels since inception.

According to Seapan, GCI’s current fleet will contribute approximately $1.3bn towards the company’s contracted future revenues, increasing its total contracted future revenues to approximately $5.6bn.

“This significantly accretive acquisition materially increases our contracted future revenues and enhances our ability to provide our customers with modern, state-of-the-art containerships. With GCI’s fleet now under our ownership, we are strengthening our partnerships with customers and enhancing our scalable integrated platform for sustained growth and future consolidation. As the container shipping industry is beginning to show signs of a recovery, we are taking decisive actions to capitalize on compelling opportunities in our market,” said Bing Chen, president and CEO of Seaspan.

Jason Jiang

Jason worked for a number of logistics firms following his English degree, then switched this hands-on experience to writing and has since become one the most prolific writers on the diverse China logistics industry writing for a host of titles including Supply Chain Asia, Cargo Facts and Air Cargo Week. Jason’s access to the biggest shippers with business in China has proved an invaluable source of exclusives.

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