German container carrier Hapag-Lloyd is looking to sell shares for a total US$500 million, and will seek listings in Hamburg and Frankfurt before the end of 2015.
Hapag-Lloyd has confirmed that it is preparing for a US500 million initial public offering (IPO) this year, with the expectation that it will use some of the proceeds to order ultra large containerships.
"This move will give us better access to the capital markets which will enable us to further invest in our business to become more competitive," Reuter quoted Hapag-Lloyd Chief Executive Rolf Habben Jansen as saying.
Hapag-Lloyd may be valued at more than 5 billion euros in the IPO.
The world’s fourth-largest container liner shipping company said it would sell new shares worth $500 million, with principal shareholders Kuehne Maritime and CSAV committed to each buying $50 million of Hapag-Lloyd stock. The remaining $400 million will come from the sale of new shares to institutional and retail investors, the company said.
Hapag-Lloyd’s IPO follows the company’s merger with the container activities of Chilean rival Compania Sud Americana de Vapores SA last year. The tie-up made CSAV Hapag-Lloyd’s biggest shareholder, with a 34% stake, followed by the city of Hamburg, local entrepreneur Klaus-Michael Kuehne and travel company TUI AG.
Berenberg, Deutsche Bank and Goldman Sachs International will manage the sale as joint global coordinators and bookrunners. Citigroup, Credit Suisse, HSBC and UniCredit are additional joint bookrunners and DZ Bank, ING and M.M. Warburg & Company will act as co-lead managers.