Hapag-Lloyd offers new proposals in bid to take over Zim

Hapag-Lloyd may yet land its prize purchase of Zim, the Israeli government affording the carrier an extra 30 days to revise the details of its proposed $4.2bn takeover and silence critics in Tel Aviv who remain hostile to the deal. It is understood the German carrier and Israeli financial institution FIMI Opportunity Funds have held several rounds of talks with regulators in a bid for sign-off from five of eight Israeli authorities, including shipping and defence agencies, which object to the deal. Hapag-Lloyd said: "We have listened carefully to the needs raised during our discussions with the relevant authorities. We are now developing an improved proposal designed to further strengthen Israel's maritime security and independence. "The revised proposal will secure Israel's access to key shipping routes, including routes from Asia, and strengthen the protections provided under the Golden Share framework. The agreement will also prevent foreign interference in the transport of Israel's sensitive cargo." Describing the changes as a "significant improvement over the current arrangement", Hapag-Lloyd is hoping it will have done enough to prevent Israel's government actioning the veto its "golden share" affords it on the sale of any stock exceeding 24% of the total. Should the changes placate the agencies looking to block the deal, FIMI would be responsible for the carved-out Zim Israel carrier, which would operate 16 vessels on direct links with key markets and make them available to government when required. Furthermore, FIMI has pledged that it would not list the company outside Israel, while also upping the oversight the government's golden share brings it by cutting the threshold for the sale of stock from 24% to 10%. So far, there has been no response from those looking to block the deal, and there remains a sense that the chances of Hapag-Lloyd securing the purchase remain slim. One analyst told The Loadstar they did not believe the parties "knew yet how to restructure the deal", with of the key trade unions describing Zim's potential new owner as "hostile" and "should not be allowed anywhere near" the carrier. Opposition from the unions comes despite Hapag-Lloyd's attempts to offer some sort of guarantee on job security, with revisions including creation of a regional Israeli division, staffed by several hundred people, and an Israel-based tech centre employing 300. Forwarders have shared the scepticism, venting their frustration to The Loadstar over the ongoing consolidation of the liner shipping sector, - one active on the affected trades claiming: "These deals are bad news for customers, plain and simple." Given the politicised nature of the affair, the upcoming Israeli elections are only likely to muddy the waters further, suggesting that any deal will be long in the pipeline, if ever likely to emerge.

BYD looks to boost car-carrier fleet and production overseas

BYD plans to expand its car-carrier fleet next year, as it looks to take overseas vehicle sales to 2.5m units. The Chinese carmaker, now the world's largest new-energy vehicle (NEV) producer, is on track to export 2m units this year, but said in a recent conference call with stock analysts that insufficient car-carriers were limiting export growth. The call, held shortly after releasing BYD's H1 26 results, disclosed that BYD expects monthly overseas shipments of 180,000-200,000 vehicles in H2 26. In H1, revenue declined 7% from the year-ago period, to CNY344.8bn ($50.78bn), while net profit fell 23% to CNY12.33bn ($1.82bn), as domestic vehicle sales fell. However, for the first time, exports accounted for more than half of BYD revenue, with overseas sales making up 52% of H1 26 turnover. Deutsche Bank noted this week that BYD's overseas sales this year had been "constrained by transportation capacity, meaning sales could otherwise have been higher", and added that besides acquiring more car-carriers, BYD planned to expand its overseas manufacturing capability. BYD currently owns eight car-carriers, each ranging from 7,000 to 9,200 car-equivalent units (ceu), in addition to two at 7,000 ceu, BYD Explorer No 1 and BYD Changzhou, chartered from Zodiac Maritime. The boom in China's vehicle exports has overwhelmed car-carrier capacity, a shortage that caused the carmakers to move some vehicles in containers. And the constraint on oil exports from the Middle East, amid the US/Israel-Iran conflict, has also propelled demand for NEVs. Market talk is that the ten 8,200 ceu ships commissioned by UK-based tonnage provider Ray Car Carriers at Guangzhou Shipyard International last month are intended to be chartered to BYD. The order was the first at a Chinese shipyard for Ray, which usually has vessels built in South Korea. Newbuildings ordered now won't be delivered until 2029/30, although it is possible to acquire second-hand vessels - at a price. In July, eyebrows were raised when Shenzhen China Merchants RoRo Shipping's 2000-built 4,130 ceu Chang Sheng Hong was auctioned for $42m, nearly triple its reserve price.

Air Canada Cargo appoints Americas senior director of sales

Air Canada Cargo has appointed Nicolas Saignat as senior director of cargo sales for its Americas region. Saignat will be based at the cargo company's Montréal headquarters and will lead commercial activities across the region, with a focus on "deepening customer relationships, supporting freight forwarders and shippers, and advancing Air Canada Cargo's growth across key markets in the Americas". According to his LinkedIn profile, Saignat has more than 20 years of experience in the air cargo market, having worked for Air France KLM Martinair Cargo, WestJet Cargo and CEVA Logistics. Most recently, he was vice president, airfreight product manager, North America at CEVA. Air Canada Cargo said that throughout his career, Saigant has led regional commercial teams, supported airfreight product development, strengthened strategic partnerships, and delivered growth in complex and highly competitive markets. "His experience will support Air Canada Cargo's continued focus on providing customers with market expertise and with reliable and responsive service across the region," the airline said. Matthieu Casey, managing director, commercial, Air Canada Cargo, added: "Nicolas's strong commercial background and deep understanding of the air cargo market will be important as we continue to strengthen our customer relationships and grow across the Americas. "His leadership will help us stay close to our customers' evolving needs and deliver the cargo solutions they rely on."