Container Line Hapag-Lloyd Plans 2015 IPO Raising $500 Millionby
Share-sale plan includes $400 million for institutions, public
Decision comes after CEO said company would meet profit goal
Hapag-Lloyd AG, Germany’s biggest container shipper, said it will go ahead with plans for an initial public offering in Frankfurt this year and aims to raise about $500 million from the share sale.
Some $400 million will be raised from institutional and retail investors, with core owners Kühne Maritime and Compañía Sud Americana de Vapores placing orders of $50 million apiece, the company said in a statement Monday.
Hapag-Lloyd said that proceeds will be used “for further investments in ships and containers to further strengthen its capital structure, long-term growth and profitability.” The offer will also comprise additional shares from TUI AG and a market standard greenshoe, the company said.
Chief Executive Officer Rolf Habben Jansen said last week that Hapag-Lloyd was on target to meet its 2015 profit goal even as a Chinese slowdown roils markets and expressed optimism about longer-term growth.