Seaspan Corp. is the worldwide leader in independent container shipping management and ownership. They are dedicated to providing an unmatched level of quality and service to all of their customers. And as part of their dedication, they have now informed that they are acquiring the controlling shares of Greater China Intermodal Investments LLC which is a China-based joint venture with firm Carlyle Group.

This will give the company an even bigger share on the charter market. Julie Steinberg from WSJ writes that this $450 million-dollar deal will bring Seaspan 18 container ships. This would jumpstart into a bigger acquisition strategy. Currently, Seaspan is the world’s largest containership lessor by cargo-carrying capacity. According to Alphaliner, the combination of companies would compose 8% of the market and along with the charter demand, leasing prices will go up.  Adding the revenues of the companies along with the $250 million investment that was infused from Canada’s Fairfax Financial Holdings Ltd., this will give Seaspan the financial advantage and positioning within the freight industry.

The Combined Fleet of SSW and GCI

	Seaspan	GCI	Combined
Vessels (including newbuilds)	94	18	112
Fleet TEU (including newbuilds)	701,900	204,000	905,900
TEU-Weighted Avg. Remaining Charter Period	5.2 years	5.4 years	5.2 years
TEU-Weighted Avg. Vessel Age	6.1 years	2.6 years	5.4 years
Avg. Vessel Size	7,500 TEU	11,333 TEU	8,100 TEU
Future Contracted Revenue (US$)	$4.3B	$1.3B	$5.6B

 

When shipping your cargo always make sure to have the best insurance coverage and policy for your shipment. At Ramon Insurance we provide clients the best rates, services, and coverages every time guaranteed.

By Iris Arden (Ramon Inc.)

Sources: https://www.wsj.com/articles/todays-top-supply-chain-and-logistics-news-from-wsj-1521109811

http://www.seaspancorp.com/press-release-post/press-release-122843/