24 Februari 2018

[240218.EN.BIZ] Maersk Sets Sights On Carving Out Its Own Niche Landside



THE Maersk group plans to expand its land-based activities to meet growing demand from customers by targeting takeovers outside the maritime industry, Bloomberg reports.

The group's chief financial officer Jakob Stausholm said: "We're currently very big in the ocean segment, and we'd rather grow in non-ocean, so it may be a good idea to look for M&A targets there.

Maersk is in the midst of offloading its energy business and last year finalised its takeover of Hamburg Sud to now command one-fifth of the container shipping market. Maersk says it wants to be part of further consolidation, but analysts caution it may face regulatory complications.

The CFO said that the world's largest container shipping company is expanding its competitive universe to include different types of companies, including FedEx Corp and UPS Inc.

"We're not going to be direct competitors to FedEx and UPS, but we will see them as peers," he said. "They are the global integrators in their industries and we want to become that in our industry."

The CFO declined to identify what specific parts of the land-based logistics chain Maersk may target for mergers and acquisitions. He also said it may take some time before the group makes such acquisitions because the Copenhagen-based company is still focusing on getting its transport units to work more closely together.

From now on, the carrier will report revenue based on its ocean and non-ocean operations, with the latter including the logistic service activities and the port terminals. In 2017, non-ocean revenue accounted for 28 per cent of its turnover.

Source : HKSG.

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