Report: China Shipping plans IPO

Report: China Shipping plans IPO    China Shipping Container Lines, the fast-growing state-owned Chinese carrier, is planning an initial public offering on the stock market in about June, according to reports in Asia.
   Hong Kong newspaper The Standard said China Shipping Container Lines is seeking to raise about $2 billion with an initial public offering in Hong Kong.
   A spokesman for China Shipping Container Lines in Shanghai would not comment on this development, saying that this information was considered “secret.”
   China Shipping Container Lines is a subsidiary of Shanghai-based China Shipping Group, headed by Li Kelin.
   BNP Paribas Peregrine Capital is reportedly sponsoring the initial public offering.
   Another affiliate of China Shipping Group — China Shipping Development Co. — is already listed on the Hong Kong stock market. China Shipping Development previously owned 25 percent of China Shipping Container Lines.
   In early January, China Shipping Development said China Shipping Group was planning to turn China Shipping Container Lines into a joint-stock limited company that could domestically and internationally raise capital.
   Established in 1997, China Shipping Container Lines made cumulative losses of Renminbi2.2 billion ($269 million) in its first five years of trading. China Shipping Group injected about Renminbi2.7 billion ($326 million) in capital into the container business in December 2002, and in September and October 2003.
   If confirmed, China Shipping Container Lines' public offering will be the third this year in the liner industry, alongside those of Royal P&O Nedlloyd (incorporating P&O Nedlloyd Container Line) and Hapag-Lloyd (including Hapag-Lloyd Container Line.)