Monday, November 9, 2015

Neptune Orient Lines at five-month high on M&A news

Shares of container firm Neptune Orient Lines are trading at over a five-month high as investors cheer news that the Singapore firm said it is in separate talks with A.P. Moller-Maersk A/S (AMKBY) and CMA CGM over a possible acquisition of the US$1.9 billion ($2.7 billion) Singapore-based shipping giant.

NOL, which is majority owned by Temasek Holdings, said that the talks were “preliminary” in nature.

NOL, which has been struggling amid a shipping glut and weakness in global trade, has been divesting some of its assets.

Earlier this year the company sold its profitable logistics business to Japan's Kintetsu World Express Inc. earlier this year for US$1.2 billion.
Stock is up 4.2% at $1.09.

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