| Singapore-listed state-owned Chinese shipbuilding group, AVIC International Maritime, has taken a 60% stake in affiliated AVIC Zhenjiang Shipyard Marine (AZM). AVIC International Maritime, led by executive chairman Diao Weicheng, will acquire 3 million shares representing the 60% stake from affiliate Catico Investments. AZM is a joint venture between Catico Investments and Jiangsu Zhenjiang Shipyard. The latter is not linked to the AVIC group. AZM is in the business and trade of acquiring, owning, selling, brokering, and chartering of various types of vessels, including but not limited to tugs and offshore vessels. It has a paid-up capital of USD5 million. Its core business is to invest in vessels by taking up equity stakes in the vessels. AVIC International Maritime said the acquisition is in line with its growth strategy to be a major player in the global shipping industry. It is principally involved in the provision of project management, ship design, and consultancy services in relation to ship trading and shipbuilding. AVIC International Maritime works with established shipyards as co-vendor, whereby the shipyards are responsible for the construction of the vessels and it is in charge of the non-construction aspects of the shipbuilding project, such as marketing, deals origination, client management, ship design, and project management. This includes arranging for marine financing, handling export procedural matters, and overseeing the utilisation of the progress payments by the shipowner. |