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Chile's CCNI and Hamburg Sud ink preliminary merger deal
The deal would include the related general agency functions and would be subject to due diligence, execution of a sale and purchase agreement and approval by the relevant authorities. The acquisition is scheduled to be executed by the 31 December 2014.
Seatrade Global had reported in April that the second largest Latin American shipping line CCNI had told its board members that it was evaluating partnership with other liners. “We have come to the conclusion that the future is to get associated or die,” said CCNI president and chairman Beltran Urenda Salamanca at the time, announcing that the shipping line was already in talks with a “German shipping company we have been working with for the past 15 years, Hamburg Sud.
”Hamburg Sud intends to strengthen its liner network to and from South America by integrating the CCNI liner services. Merging the dedicated and experienced workforce of CCNI and HSDG will help to create an even stronger organisation that will provide a first class service to the customers of both companies" the two companies said in a statement.
CCNI reported $841.47m in revenues in 2013, down from $910.05m in 2012, with net profit also dwindling to $0.16m from $9.32m the previous year. Following the transaction CCNI will continue its non-liner shipping activities including the car carrier and shipowning business.
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