According to Alphaliner, Chinese container supplier China International Marine Containers Group Co (CIMC) has withdrawn from its purchase of Maersk’s reefer container manufacturing unit, Maersk Container Industry (MCI), following objections from USA antitrust authorities, hence the block of the foreseen merger.
The deal was first announced in September last year, with CIMC offering $987m cash and debt-free, Alphaliner says.
The US Justice Department said the transaction would have combined 2 of the 4 global providers of insulated container cases and refrigerated shipping containers. It would also have consolidated control of more than 90% of the world’s production of insulated container boxes and refrigerated shipping containers in Chinese state-owned or state-controlled entities.
The Department collaborated with its German equivalent of the competition, the Bundeskartellamt, in the investigation.
MCI was created by Maersk in 1991 and today exclusively manufactures cold containers.
The Justice Department said the deal would have cemented CIMC’s dominant position and eliminated MCI as an innovative and independent competitor. The deal would also have “substantially increased the risk of coordination between the remaining providers in the market,” he told Alphaliner.
Source: Alphaliner
