Sources say Maersk Line is looking to buy Hamburg Süd.
Sources say Maersk Line is looking to buy Hamburg Süd, a move expected to fortify the shipping giant's Latin American presence in particular, The Wall Street Journal reports.
"Hamburg Süd's strong presence in North-South trades makes it attractive to Maersk," said Lars Jensen, CEO of SeaIntelligence Consulting.
"Maersk sees growth in refrigerated cargo like meat products from Brazil and Argentina and bananas from Ecuador, and teaming up with Hamburg Süd will give it a bigger footprint in that part of the world."
Hamburg Süd is the world's seventh largest container operator, representing 3 percent of global container capacity, according to Alphaliner.
Lars Jensen, CEO, SeaIntelligence Consulting
Teaming up with Hamburg Süd will give it a bigger footprint in that part of the world
The Oetker Group, Hamburg Süd's principal, is reported to have expressed an interest in the shipping company's sale, with a decision on whether to sell expected to come sometime this week.
Maersk has previously stated that it would consider acquisitions if "the right opportunity is there."
As Ship & Bunker reported earlier this month, Adrian Tolson, Senior Partner at 20|20 Marine Energy, has warned that continued consolidation within the container shipping markets is setting the tone for a tough 2017 in the bunker markets.