• ITVI.USA
    15,378.070
    -88.350
    -0.6%
  • OTLT.USA
    2.743
    0.001
    0%
  • OTRI.USA
    20.820
    0.290
    1.4%
  • OTVI.USA
    15,350.040
    -89.040
    -0.6%
  • TSTOPVRPM.ATLPHL
    3.280
    -0.020
    -0.6%
  • TSTOPVRPM.CHIATL
    3.190
    0.050
    1.6%
  • TSTOPVRPM.DALLAX
    1.560
    -0.030
    -1.9%
  • TSTOPVRPM.LAXDAL
    3.420
    0.090
    2.7%
  • TSTOPVRPM.PHLCHI
    2.220
    0.050
    2.3%
  • TSTOPVRPM.LAXSEA
    4.080
    0.000
    0%
  • WAIT.USA
    126.000
    1.000
    0.8%
  • ITVI.USA
    15,378.070
    -88.350
    -0.6%
  • OTLT.USA
    2.743
    0.001
    0%
  • OTRI.USA
    20.820
    0.290
    1.4%
  • OTVI.USA
    15,350.040
    -89.040
    -0.6%
  • TSTOPVRPM.ATLPHL
    3.280
    -0.020
    -0.6%
  • TSTOPVRPM.CHIATL
    3.190
    0.050
    1.6%
  • TSTOPVRPM.DALLAX
    1.560
    -0.030
    -1.9%
  • TSTOPVRPM.LAXDAL
    3.420
    0.090
    2.7%
  • TSTOPVRPM.PHLCHI
    2.220
    0.050
    2.3%
  • TSTOPVRPM.LAXSEA
    4.080
    0.000
    0%
  • WAIT.USA
    126.000
    1.000
    0.8%
American Shipper

China Shipping IPO raises less than expected

China Shipping IPO raises less than expected

   China Shipping Container Lines’ initial public offering raised $985 million on the Hong Kong stock market, less than half of its original $2 billion goal, Reuters reported.

   The Shanghai-based Chinese carrier had already lowered the targeted proceeds it hoped to raise through its IPO to about $1.2 billion, and the latest figure suggests a lukewarm reception to its entry on the stock market.

   Investors have reportedly decided to buy shares in China Shipping Container Lines at the lower end of the proposed HK$3.175-HK$4.175 price range.

   In recent filings to the Hong Kong stock exchange, fast-growing China Shipping Container Lines said it wants to use about HK$2.4 billion ($302 million) of the proceeds to buy ships, about HK$472 million ($61 million) to acquire containers and HK$2.8 billion ($363 million) to repay debts.

   Hutchison Whampoa, parent company of Hutchison Port Holdings, and Canada-based shipowner and charterer Seaspan have confirmed they are each buying a stake in China Shipping Container Lines. Seaspan is involved in chartering containerships to the Chinese carrier.

   China Shipping expects to make a net annual profit before extraordinary items of about RMB$3.2 billion ($372 million) in 2004, representing HK$0.49 per share. In 2003, the company had net earnings of RMB1.4 billion ($168 million).

   Shares in China Shipping Container Lines will start trading on the Hong Kong stock exchange June 16.

   China Shipping’s IPO is the second in the container shipping industry this year, following the April listing on the Euronext stock market in Amsterdam of P&O Nedlloyd through Royal P&O Nedlloyd N.V.

   Hapag-Lloyd, the parent company of Hapag-Lloyd Container Line, said it is also planning a return to the stock market by the end of this year.

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