Canadian Shipper


COSCO to sell Long Beach container terminal to complete deal for OOIL

Beijing, China — China’s COSCO Shipping said it will sell a container terminal in California, helping allay concerns of U.S. regulators and clearing the way for its $6.3 billion acquisition of Orient Overseas International Ltd. (OOIL) announced last year.

In a regulatory filing on Sunday the company said the U.S. Committee on Foreign Investment in the United States had notified it that it does not have any outstanding security issues following an agreement with the U.S. government to divest the Long Beach container terminal business to a third party. COSCO said ownership of the container terminal business will be transferred to a trust while a buyer is sought.

COSCO’s acquisition of OOIL will see the Chinese shipping giant become the world’s third-largest container shipping line.

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