China Cosco Shipping Corporation Limited’s (Cosco Shipping) container leasing arm has entered into a deal to buy 154,000 units of containers for $200.38m.

Cosco Shipping’s Leasing Unit Buys $200m Worth of Containers

The deal was entered into by Florens Container Investment, an indirect wholly-owned subsidiary of Cosco Shipping Development Co (CSDC), with the seller CLC II, an investment holding firm incorporated in Bermuda.

CSDC, a main subsidiary of Cosco Shipping, announced that the acquisition will be funded by internal resources and external debt financing of the group.

“As the company strives to develop its container leasing business in the long run and become an industry-leading leasing company with unique competitive edge on the basis of the current leasing business, the acquisition is in line with the business of the group and will expand the scale in its container leasing business,” CSDC explained.

“In addition, the acquisition would increase the proportion of self-owned containers of the group and ensure that the group’s demand for containers is satisfied,” it added.

The latest buying of containers followed Cosco Shipping’s $6.3bn acquisition of Orient Overseas (International) Limited (OOIL), a deal that would make them become the world’s third largest carrier with more than 400 vessels and capacity exceeding 2.9m teu including orderbook.

Source: Seatrade-Maritime.com