Cosco reveals more details on acquisition of OOIL

Responding to Shangai Stock Exchange’s recent inquiry, Cosco Shipping has provided further details regarding its offer to acquire Hong Kong-based Orient Overseas International Limited (OOIL).

As it was previously reported, SSE sent a letter of inquiry to the Chinese giant a few days ago, demanding more clarifications on the takeover. 

Cosco Shipping said that there is still “certain degree of uncertainty” concerning the review by anti-monopoly authorities. However, the company is optimistic about this review from US and EU, based on “preliminary judgments” and presented the relevant examples of Maersk’s acquisition of Hamburg Sud, Hapag-Lloyd’s acquisition of UASC, etc.

In response to SSE’s concern regarding OOIL’s listing after the acquisition, Cosco Shipping explained that the plan foresees maintaining of the listing status of the shares of OOIL after the completion of the offer. Cosco and Shanghai Port International Group (SIPG) “intend to take the appropriate steps to restore the public float in accordance with the Hong Kong listing rules.”