Maersk welcomes Hamburg Süd as integration closes
In early December 2016, Maersk Line announced its intention to acquire Hamburg Süd. A year later, the German-based shipping line has officially joined A.P. Moller – Maersk in one of the largest transactions in shipping history.
“With the final approval of the acquisition we have reached an important milestone in our strategy to become an integrated transport and logistics company delivering sustainable growth. These are truly exciting times and we are looking forward to taking the first steps forward as one company,” says Søren Skou, CEO of A.P. Moller – Maersk and continues: “Hamburg Süd is an outstanding brand with high quality products. By combining our two businesses we will reinforce the global positions of both companies and enhance our service offers towards customers.”
The acquisition is in line with the Maersk Line’s growth strategy. It represents a unique opportunity to realise commercial opportunities as well as sizable operational synergies. Combined, the two companies will be able to realise operational synergies in the region of USD 350-400 million annually as from 2019.
In the future, Maersk Line and Hamburg Süd will offer customers better market coverage, attractive direct services and other benefits via a combined global network. The cost synergies will primarily be derived from integrating and optimising the networks as well as standardised procurement.
Together, Maersk Line and Hamburg Süd will have a total container capacity of 4.15 million TEU and a 19.3% global fleet capacity share (Alphaliner, 27 November 2017). 105 Hamburg Süd vessels will be integrated into the fleet of Maersk Line. The combined fleet will include a total of 772 vessels (owned and chartered).
Maersk Line will acquire Hamburg Süd for EUR 3.7 billion on a cash and debt-free basis. Maersk Line will finance the acquisition through a syndicated loan facility.
www.hamburgsud.com; www.maersk.com