Korea’s Hanjin Shipping Co. is in talks with Swiss shipping giant Mediterranean Shipping Co. to sell its stake in the Long Beach Terminal as part of a plan to dispose most of its oversees assets after filing for bankruptcy protection in August, people involved in the matter said Friday.
The talks involve Hanjin’s 54% stake in Total Terminals International LLC, which runs Long Beach Terminal in California. MSC owns the remaining 46%.
The Wall Street Journal reported last week that Hanjin, has reached out to European shipping majors and Korean peer Hyundai Merchant Marine Co. to sell assets, including five, 13,000 container ships, as part of a restructuring plan that will see it emerge as a small, intra-Asia operator.
People involved in the process said Hyundai will be first in line to cherry-pick on Hanjin’s ships, which include five 13,000-container vessels. Both the Korean government and Hanjin’s main creditor, Korea Development Bank, have said they would back HMM in buying Hanjin assets, provided such a move would help it stay competitive. KDB is also HMM’s main creditor.
Source: Wall Street Journal