South Korean shipping major, Hyundai Merchant Marine (HMM) aims to raise KRW 693.6 billion (USD 614 million) from a sale of shares, the company said in a regulatory filing on October 13.
The sale would be split into two parts – an offering of KRW 400 billion (USD 350 million) and KRW 293.6 billion (USD 264 million) approximately.
The company plans to invest the proceeds from the sale into new ships and terminals, the filing read. HMM said it would acquire two large container vessels from Philippines-based Hanjin Heavy Industries and Construction. The price tag for the boxship pair totals USD 162 million.
The two vessels are scheduled for delivery in May 2018 and are expected to be deployed on East Coast South America trade.
HMM also decided to build five 300,000 dwt very large crude carriers (VLCC) at Daewoo Shipbuilding and Marine Engineering (DSME), with an option for five more units.
The investment is worth USD 418.9 million. The VLCCs are set for sequential delivery in the first half of 2019.
Sea News October, 16