China Shipping plans more activity on Shanghai stock exchange

China Shipping plans more activity on Shanghai stock exchange China Shipping Container Lines Co. Ltd. has submitted an application to China's securities regulator to issue 2.34 billion 'A' shares on the Shanghai stock exchange.
   China's Xinhua news service reported that the China Securities Regulatory Commission will consider the application of the Shanghai-based liner affiliate of the China Shipping (Group) Company this Friday.
   According to the prospectus released by the company on Monday, CSCL will issue no more than 2.34 billion 'A' shares, which will account for less than 20 percent of the total floated equity. The company went public in Hong Kong in June 2004. The Bloomberg news service said based on current market prices, the new share offering might raise about $2.4 billion.
   Proceeds from the flotation will be used to buy container ships, purchase business assets and replenish capital, the company said.
   Xinhua said the China Shipping, established in 1997, has about 40 percent of the domestic market share and owns 151 containerships.
   The Alphaliner/AXS Marine information service said China Shipping is the sixth largest container carrier with a fleet of 140 owned and leased ships with a capacity of 428,653 TEUs, putting it in a virtual dead heat, size wise, with the No. 7 carrier on the list– the rival Chinese shipping company COSCO Container Line. Alphaliner/AXS said COSCO has 139 ships with a capacity of 420,410 TEUs, but noteed that COSCO has more capacity on order.