HMM NURI calls Southampton
NewsHMM NURI is the first of a new generation of eight 16,000 TEU ships operated by Hyundai Merchant Marine
HMM plans US$620M rights issue
Hyundai Merchant Marine (HMM), South Korea’s largest liner shipping company, is to raise KRW694B (US$620M) through a rights issue. Money raised from the offering of 120M new shares at KRW5,780 each is to be used to help support the carrier’s recently announced newbuilding programme and its plan to achieve equity stakes in some of the container terminals it uses around the world.
It is anticipated that at least KRW400B of the new capital will be used for investment purposes, with the remainder used to cover operating expenses, including charter and fuel costs for the fleet.
In other moves, the South Korean government and various creditors have pledged KRW10T (US$8.8B) to support the company and increase its competitiveness in the liner sector. Having a strong domestically based containercarrying line is viewed by the state as being critically important and strategic for the nation, which is still one of the leading exporters in the Asia region.
Yoo Chang-Keun, president of HMM, is keen to ensure that the company fully supports the nation’s needs. His five-year plan envisages expanding the carrier’s fleet to a 1M TEU operating capacity, and to occupy eighth place in the league of container ship operators. Currently, HMM has two container ships on order, each of 11,000 TEU carrying capacity, and five 300,000 dwt VLCCs.
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This complete item is approximately 300 words in length, and appeared in the October 2017 issue of WorldCargo News, on page 17. To access this issue download the PDF here.
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