Taiwanese companies Yang Ming Marine Transport, Taiwan Navigation, TS Lines, Taiwan International Ports Corporation (TIPC), Tungya Transportation and Chunghwa Post have entered into a letter of intent to form a joint venture for overseas investment.
The joint venture, which is arranged by Taiwan’s Ministry of Transportation, plans to raise initial investment funds of $40m.
The Taiwanese government expects the new investment entity to play an important role in its so-called New Southbound Policy, an initiative of the Taiwanese government to enhance cooperation and exchanges with countries in Southeast Asia, South Asia and Australasia.
The joint venture will be headquartered in Singapore and is expected to be officially launched by October. Yang Ming and TIPC will each hold one third equity interest in the company while the other four companies will together hold the remaining one third.