THE potential sale of Hyundai LNG Shipping, South Korea's top LNG carrier, by its current institutional investors is facing opposition from the shipping industry and possibly the government, reports Fort Lauderdale's Maritime Executive.
The shipping industry has sent a letter to the government calling for a block on the potential sale of the company to foreign interests, as concerns are being raised over the impact on Korea's energy security and leadership position in gas carrier shipbuilding.
Hyundai LNG Shipping is owned by IMM Holdings, a private equity firm based in Korea that acquired the gas carrier business in 2014.
The company currently operates a fleet of 16 LNG carriers and six LPG carriers, with plans to expand its capabilities to LPG transport.
The bidding for the sale has reportedly been narrowed down to five international buyers ranging between the US, the UK, Greece and Denmark, with IMM expecting to receive between US$460 million and $550 million for the company.
The Ministry of Oceans and Fisheries is reportedly considering blocking the foreign sale of Hyundai LNG Shipping, while the owners of HMM, another Korean shipping company, are pursuing its privatisation after years of government investment.
The shipping industry is also concerned about the potential broader impact of the sale, as Hain, another Korean investment company, has announced plans to sell its control of SK Shipping, another South Korean petroleum products shipping company.
SeaNews Turkey
The shipping industry has sent a letter to the government calling for a block on the potential sale of the company to foreign interests, as concerns are being raised over the impact on Korea's energy security and leadership position in gas carrier shipbuilding.
Hyundai LNG Shipping is owned by IMM Holdings, a private equity firm based in Korea that acquired the gas carrier business in 2014.
The company currently operates a fleet of 16 LNG carriers and six LPG carriers, with plans to expand its capabilities to LPG transport.
The bidding for the sale has reportedly been narrowed down to five international buyers ranging between the US, the UK, Greece and Denmark, with IMM expecting to receive between US$460 million and $550 million for the company.
The Ministry of Oceans and Fisheries is reportedly considering blocking the foreign sale of Hyundai LNG Shipping, while the owners of HMM, another Korean shipping company, are pursuing its privatisation after years of government investment.
The shipping industry is also concerned about the potential broader impact of the sale, as Hain, another Korean investment company, has announced plans to sell its control of SK Shipping, another South Korean petroleum products shipping company.
SeaNews Turkey
