Sembcorp Marine sells its 30% equity interest in COSCO Shipyard Group

By Finance

Sembcorp Marine Ltd has entered into a sale and purchase agreement to dispose of its 30% equity interest in COSCO Shipyard Group Co., Ltd., (CSG) to China Ocean Shipping (Group) Company, COSCO said in its press release.

Sembcorp Marine sells its 30% equity interest in COSCO Shipyard Group

Modec Venture 11 Repair and renewal of FPSO vessel (Image for illustrative purposes only) - Photo courtesy: Sembcorp Marine

Following the completion of this transaction, Sembcorp Marine Ltd will cease to have any interest in CSG except via its investments of 4.98% shareholdings.

The completion of the disposal is conditional upon the fulfilment of certain conditions. Upon completion of this transaction, the equity interest of COSCO Group in CSG will increase from 3% to 33%, the equity interest of the company in CSG will remain unchanged at 51%, and the equity interests of Shanghai Ocean Industrial Company and Guangzhou Ocean Investment Management Company (which are also subsidiaries of COSCO Group) in CSG will remain unchanged at 8% each.

Source: COSCO