Third-largest container shipping company CMA CGM is building up its stake in NOL, and has been purchasing discounted shares on the open market for US$0.92 each, according to Trade Winds.
CMA CGM has so far acquired an estimated 0.77% of NOL after recently purchasing the shipping company for US$2.4 billion.
The deal is reportedly still subject to regulatory approvals in the US, EU and China.
The acquisition of NOL will result in a combined turnover of $22 billion and have a total fleet size of 563 vessels, helping to strengthen CMA CGM’s position as a top three global carrier.
There is still uncertainty as to what will happen to each carrier’s respective alliances, as well as the impact on the wider industry.
The approval of China’s CSCL and Cosco shipping lines is also causing concern, having sparked recent losses to Hong Kong’s financial markets, as well as the fear that the alliance will add additional strain to global ports and terminals.
