Neptune put up for sale
22 July, 2015, 12:00 am
Singapore-based container shipping company Neptune Orient Lines has been put up for sale. This was done by investment company Temasek Holdings Pte. Ltd, NOL’s majority stake owner, the Wall Street Journal reports citing sources familiar with the matter.
As informed, the indebted carrier has been in talks with an undisclosed buyer. However, there has been no concrete deal yet as the involved parties could not agree on the price of the sale.
The sale seems to be back on following talks with German carrier Hapag-Loyd on potential merger in 2008, followed by rumours on the merger between Hong Kong’s Orient Overseas (International) Ltd. and NOL that emerged in March this year.
The relaunching of the plan comes in the wake of NOL’s disposal of its profitable logistics business, APL Logistics Ltd (APLL) which is expected to further facilitate NOL’s sale.
APLL was sold in May to Kintetsu World Express, Inc for a total of $US1.2 billion ($F2.57b).
Tamasek holds 65 per cent stake in the company whereas the remaining 35 per cent is traded on the Singapore Stock Exchange. The estimated worth of the container shipping company is $US1.7b ($F3.64b).
NOL, which operates through the APL brand, has 92 vessels in its fleet.