COSCO to Create a Shipping Fund with China Cinda
- Business & Finance
Hong Kong-listed Cosco Shipping Development is planning to establish a shipping fund with China Cinda Asset Management Co., Ltd.
The move is being pursued in line with the company’s investment in the financing sector of the shipping industry.
Initially, the fund will dispose of a total of USD 154 million and Cosco plans to take a 49.95 pct in the fund or an investment worth approximately USD 77 million (RMB 500 million).
As disclosed, the shipping fund will be used for financing of ship assets including non-performing assets and restructuring programs.
The shipping industry has been faced with restricted availability of financing opportunities over the recent period as banks started to curb their exposure to bad shipping loans amid industry downturn.
World Maritime News Staff