Tui AG set to agree Hapag-Lloyd deal

Tui AG set to agree Hapag-Lloyd deal

Tui Travel’s German parent Tui AG is poised to announce the sale of more than half its remaining stake in container shipping firm Hapag-Lloyd.

However, Tui AG has failed in its wish to sell the entire stake and exit the shipping sector - a move that was expected to see the company take a greater share of Tui Travel, in which it holds a 55.5% stake.

Reports in Germany suggest the Tui Travel parent has agreed to sell 20% of Hapag-Lloyd ¬- just over half the 38.4% stake it holds - to the Hamburg-based Albert Ballin consortium which controls the shipping company following its acquisition from Tui AG in 2009.

A Tui AG spokesman said: “We are in good and advanced talks.” The deal is likely to be announced ahead of the Tui AG annual general meeting on Wednesday.

Tui has been edging towards a deal for months after a previous attempt to sell the shipping arm was scuppered by the financial crisis of 2008.

The company’s stake in Hapag-Lloyd – one of the world’s biggest shipping groups - is all that remains of the former heavy industry and shipping conglomerate Preussag which was turned into a travel group in the 1990s.

The group bought Thomson Travel Group of the UK in 2000 and was renamed Tui AG - with Thomson as Tui UK - in 2002. It subsequently bought First Choice and merged the companies in 2007 to create Tui Travel as a group listed in London.

Tui AG had plans to float Hapag-Lloyd early last year and use the proceeds to buy shares in Tui Travel. However, the listing never happened.

In mid-2009 the group was forced to inject euro215 million into the shipping company to stave off a cash crisis. It ended up taking a stake in a Hamburg container terminal despite wanting to exit shipping.


This is a community-moderated forum.
All post are the individual views of the respective commenter and are not the expressed views of Travel Weekly.
By posting your comments you agree to accept our Terms & Conditions.

More in News