German-based tourism company TUI Group has decided to distance itself from the container business as it sold its stake in compatriot container carrier Hapag-Lloyd.
The company disposed of a total of 8.5 million of shares in an open market block trade to a guaranteed minimum price close to yesterday’s market closing. Prior to this trade TUI AG had already disposed of 6 million shares in individual open market transactions since March 2017.
“By disposing of all of its remaining Hapag-Lloyd AG shares TUI AG successfully concludes its non-core business disposal program as defined after the merger between TUI AG and TUI Travel PLC in December 2014,” Horst Baier, TUI Group CFO , said.
For 2018 and 2019 TUI AG is contemplating to structure the intended cruise ship acquisitions of Mein Schiff 1 and Mein Schiff 2 by the British subsidiary TUI UK from TUI Cruises GmbH as a straight cash transaction. TUI UK will then take over Mein Schiff 1 and Mein Schiff 2 from TUI Cruises into their British fleet.
TUI AG previously accounted for its shareholding in Hapag-Lloyd AG as a financial asset available for sale. As at March 31, 2017 the carrying value was EUR 395 million in TUI AG’s consolidated balance sheet.