CSAV Rises in Santiago After Announcing Towage Alliance Talks
Cia. Sud Americana de Vapores SA, Latin America’s biggest container shipper, rose for the first time in three days after unveiling talks with Royal Boskalis Westminster NV to combine their regional towage operations.
CSAV climbed 3.2 percent to 146 pesos at 12:12 p.m. Santiago time after slumping 4.7 percent in the past two days. Boskalis fell 1.2 percent to 24.81 euros in Amsterdam.
“The combined towage operations would serve 45 ports in nine countries with a fleet of more than 170 vessels,” Boskalis said in a statement today. “The total annual turnover would exceed $270 million.”
CSAV, based in the Chilean port city of Valparaiso, is ending some unprofitable routes after losing $525 million in the first half of this year on the slowing global economy, rising fuel costs and a worldwide glut of vessels. The company plans to spin off its port handling unit Sudamericana Agencias Aereas y Maritimas SA, known as SAAM.
SAAM is yet to reach an agreement with Boskalis and any arrangement would require board approval, CSAV wrote in a separate statement on its website.
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