China’s Zhuhai Port has announced a plan to issue 140m new shares to a group of specific investors to raise around RMB1bn ($145m).
The proceeds from the share issue will be mostly used to support Zhuhai Port Shipping’s fleet expansion program which includes the acquisition of forty 3,500 dwt multipurpose cargo vessels, three 12,000 dwt bulkers, four 22,500 dwt bulkers, two 45,000 dwt bulkers and six tugboats. The remainder of the funds will be used for port facility upgrade.
The vessels will be used for Zhuhai Port’s river-ocean shipping services.
Zhuhai Port, a major port in the pearl river delta, announced a plan to establish a bulker fleet at the end of 2017 through acquisitions of both secondhand ships and newbuildings.
The port believes the move into the shipowning sector will help the company transform into an integrated logistics solution provider.
Zhuhai Port completed a cargo throughput of 125m tonnes in 2018, showing year-on-year growth of 1.4%.