Hapag-Lloyd Negotiates $3.5bn Acquisition of Zim

Hapag-Lloyd AG, a German shipping giant, is in advanced negotiations to acquire Israeli carrier Zim Integrated Shipping Services Ltd. for an estimated $3.5 billion. The discussions are at a late stage, although no binding agreement has been signed yet.

The deal is expected to be finalized within the next month, pending regulatory approval from the Israeli government. Zim, based in Haifa, is anticipated to be delisted from the New York Stock Exchange as part of the acquisition process.

The acquisition would allow Hapag-Lloyd to absorb Zim's operations into its global network, enhancing its market share, which currently stands at 7.4%. The worker union at Zim has already reacted by shutting down activities at the company's headquarters due to concerns about the future of Israel's flagship shipping line.

The Israeli state holds a golden share in Zim, making the participation of Fimi Opportunity Fund crucial for preserving national shipping routes deemed strategic.