Hapag-Lloyd, UASC to merge

FRANKFURT: German container shipping giant Hapag-Lloyd said on Monday it had signed a merger deal with the United Arab Shipping Company to create the world´s fifth-largest container firm.

"Hapag-Lloyd AG and United Arab Shipping Company (UASC) have signed a Business Combination Agreement to merge both companies, subject to the necessary regulatory and contractual approvals," the firm said in a statement.

No financial details were disclosed.  "This strategic merger makes a lot of sense for both carriers -- as we are able to combine UASC´s emerging global presence and young and highly efficient fleet with Hapag-Lloyd´s broad, diversified market coverage and strong customer base," said the German firm´s chief executive Habben Jansen.