HMM came under state control in 2016 after swapping debt for equity to avert bankruptcy. And opponents of the sale say there will, therefore, be less synergy between the flagship carrier and the dry bulk-focused operations of Harim. Harim acquired Pan Ocean, South Korea’s largest dry bulk shipping company, in 2015. It’s highly possible that investment in HMM’s dry bulk fleet will be called off to pre-empt weakened profitability.”There have been concerns that HMM’s dry bulk operations would be consolidated with those of Pan Ocean, which has nearly 80 bulk carriers. Jung Il-hwan, CEO of logistics consultancy Youngone NCS, said: “KDB and KOBC were attempting to sell HMM before its profitability deteriorated.

Source: The North Africa Journal January 29, 2024 18:13 UTC