HAMBURG, Germany and VALPARAISO, Chile--Hapag-Lloyd AG is discussing a possible merger with Cia. Sud Americana de Vapores SA, Latin America’s biggest container shipping line, as the companies struggle to overcome a global trade slump that has left the industry in crisis, said Bloomberg News.
The talks are focused on whether “a possible business combination or any other form of association would be of mutual interest,” Hamburg-based Hapag-Lloyd said in a statement today.
Hapag-Lloyd, the biggest German container line with a fleet of 152 vessels, is still reeling from the slump triggered by the 2008 collapse of Lehman Brothers Holdings Inc., reporting a 64 percent decline in profit for the third quarter, its peak season. It’s turning its sights to CSAV after talks to merge with local competitor Hamburg Sued, owned by family-owned German holding company Oetker-Group, failed in March because shareholders of both companies couldn’t agree on terms, said the report.
The talks with Valparaiso, Chile-based CSAV “have not resulted in any binding or non-binding agreement between the parties,” Hapag-Lloyd said in the statement, without elaborating further.