Maersk Sell's Reefer Manufacturing Operation to China's CIMC
The container logistics company A.P. Moller - Maersk (Maersk) has signed an agreement to sell its reefer manufacturer, Maersk Container Industry (MCI), to China International Marine Containers Ltd. (CIMC), headquartered in Shenzhen, China and listed on the Shenzhen Stock Exchange and Hong Kong Stock Exchange.
MCI will become part of a market leading company in the container equipment industry. CIMC will take over MCI’s entire organisation and assets which include the reefer factory in Qingdao, China, as well as its R&D and test engineering facilities in Tinglev, Denmark.
Henriette Hallberg Thygesen, CEO of Fleet & Strategic Brands in A.P. Moller - Maersk said: “We believe that we in CIMC have found a good long-term owner of MCI.
"The divestment of MCI is part of A.P. Moller - Maersk’s business transformation, where focus is on being an integrated container transport and logistics company creating customer value across the entire supply chain.
“While strengthening the synergies between the core businesses of our global integrator offering, we have reviewed the strategic fit of MCI and decided to find a new home for MCI that can ensure that the company continues to grow its reefer business.
"We have had a close relationship with CIMC for more than 30 years and we look forward to continue that partnership.”
Founded by Maersk in 1991, MCI has been a part of the company for more than 30 years. Over the years it has transformed into a business focusing entirely on manufacturing refrigerated containers and in 2020, the company delivered its most profitable result since its foundation.
CIMC want to continue MCI’s trajectory of increasing sales and investing in new product development and believe that bringing MCI into its group will allow it to do this.
Mr. Mai Boliang, Chairman and CEO of CIMC said: "By leveraging technology and innovation we want to create a new growth platform within cold chain. I look forward to welcoming MCI as I am very impressed by the company’s results and innovation.
"I am convinced that by combining MCI’s talented people and technologies with our global refrigeration business we will create an exciting future together as a key partner for our customers."
Star Cool will remain a key part of the way Maersk supports its customers’ cold chain needs as Maersk will continue its cooperation with MCI in the future.
The value of the transaction is $987.3 million on a cash and debt free basis (Enterprise Value).
The agreement for CIMC to acquire MCI was signed on September 27, 2021 and is subject to regulatory approvals. The transaction is expected to close in or before 2022. Until closing, CIMC and MCI remain two separate companies and continue to run their businesses as usual.