ôKö Line, Hanjin buying each otherÆs shares
Japan's Kawasaki Kisen Kaisha Ltd. and Korea's Hanjin Shipping Co., Ltd. have announced an agreement where each company will buy a 3 percent stake in the other company's stock.
The death of Cho Soo-ho, chairman of Hanjin Shipping, in late November sparked speculation that a takeover battle for Korea's largest shipping company might ensue.
Earlier this year, Israeli billionaire Sammy Ofer increased his stake in Hanjin to about 12.8 percent earlier this year. Ofer is also a major shareholder in Zim, the Israel-based container carrier.
'K' Line and Hanjin said in a joint statement 'this reciprocal stock purchase will further solidify our partnership and bring our mutual objectives even closer than at present. The two companies are thereby expecting to make more timely and most appropriate management decisions for each organization in today's dynamic business environment.'
'K' Line and Hanjin, with COSCO and Yang Ming Line, make up the CKYH Alliance, which they said 'will continue to enjoy its unprecedented solidarity and an even greater spirit of cooperation in the future following' following the stock purchases.
?K? Line, Hanjin buying each other’s shares
