Photo credits @ MSC

Ukraine approves HHLA-MSC merger ahead of deadline

The European Commission approved the HHLA/MSC deal in October. However, to meet the closing conditions, approval from the Ukrainian merger control authority was also required, as HHLA operates a container terminal in Odessa. This approval has now been granted.

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19.11.2024

On 14 November, the Antimonopoly Commission of Ukraine (AMK) approved the planned entry of the Swiss shipping company Mediterranean Shipping Company (MSC) into Hamburger Hafen- und Logistik AG (HHLA) via its Luxembourg-registered subsidiary, SAS Shipping Agencies Services S.à r.l.

The decision was made at the last moment, as the takeover offer is valid only until 20 November 2024. The approval was necessary because the Hamburg-based port logistics company has operated a container terminal in Odessa—the largest port in Ukraine—since 2001.

Once the deal is completed, the Swiss shipping company will hold a minority stake of 49.9% in HHLA through SAS Shipping Agencies Services S.à r.l., while the City of Hamburg will retain the majority share of 50.1% through HGV Hamburger Gesellschaft für Vermögens- und Beteiligungsmanagement mbH.

“Everything has been thoroughly examined, discussed, and weighed up. All promises have been kept: the majority of HHLA remains in the hands of the city through our municipal holding company, HGV. Key agreements have been contractually secured, including employee co-determination,” stated Dr. Andreas Dressel, Senator for Finance.

He added that the proceeds from the transaction, along with a capital increase by MSC, will enable significant investments of almost half a billion euros into the modernization and future viability of HHLA, without requiring additional taxpayer money.

As previously announced, the transaction is expected to be completed by the end of 2024.

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