Maersk Line Eyes Increased Market Share Following Historic Maersk Shake-Up

Maersk says it plans to grow Maersk Line's market share "organically and through acquisitions."

A.P. Møller - Mærsk A/S (Maersk) Thursday announced a historic shake-up that will see the conglomerate split into two entities, with Maersk focusing on transport and logistics, and its oil and energy related businesses being spun out "either individually or in combination."

As part of the announcement, Maersk said that its Maersk Line business "will grow market share organically and through acquisitions," but chief executive Soren Skou ruled out placing orders for new vessels.

"There are already enough ships in the world," he said during a press conference following the announcement.

Neither Maersk nor Skou expanded further on the growth plans, but rumours earlier this year linked the company to a possible acquisition of Hyundai Merchant Marine (HMM) - something that was subsequently downplayed by Maersk Line's Asia Pacific CEO Robbert Van Trooijen.  

Discussing the new plan to reorganise the Maersk group into two separate divisions, Transport & Logistics and Energy, Michael Pram Rasmussen, Maersk's Chairman of the Board said: "The industries in which we are operating are very different, and both face very different underlying fundamentals and competitive environments.

"Separating our transport and logistics businesses and our oil and oil related businesses into two independent divisions will enable both to focus on their respective markets. This will increase the strategic flexibility by enhancing synergies between businesses in Transport & Logistics, while ensuring the agility to pursue individual strategic solutions for the oil and oil related businesses."

Maersk says that integrating the managment and operation of its Transport & Logistics business activities will allow for more profitable growth by way of enhanced collaboration and "disciplined capital allocation."

Within the announcement, Maersk also revealed Claus V. Hemmingsen is slated to be appointed as Group Vice CEO, effective October 1, 2016, while and CEO for the Energy division, Jakob Stausholm will be appointed Group CFO, effective December 1, 2016, with current Group CFO Trond Westlie leaving the group on the same date.

In June, Maersk announced that Søren Skou would replace Nils S. Andersen the group's CEO, effective July 1, 2016.