CSAV Post Positive Profits in 2014

Third largest shipping line Compañía Sud Americana de Vapores (CSAV) ended 2014 with net profits of US$389m.

PTI previously reported that CSAV and shipping Hapag-Lloyd had successfully merged their container businesses, allowing for increased cost savings.

This year’s performance was positively impacted by the $619m profit from the closing of the transaction with Hapag-Lloyd, in which CSAV transferred its whole container shipping activities in exchange of a 30% ownership in Hapag-Lloyd.

That positive result allowed CSAV to close the fourth quarter with a gain of $549 million.

Oscar Hasbún, CEO of CSAV, said: “This positive result is the outcome of the consistent strategy we have followed and informed to the market from the beginning. Today we are the largest shareholder of the fourth container shipping company in the world.

We think Hapag-Lloyd possesses all the conditions to face the challenges ahead. The new management that now includes our former Chief Financial Officer, with the decisive support of the new Shareholders Agreement (of which CSAV is part) will turn the new Hapag-Lloyd into a highly efficient and profitable company.”

After the transaction, Hapag-Lloyd became the fourth largest container shipping company in the world and CSAV its major shareholder with a 34% ownership.