COSCO SHIPPING Development to Acquire 16 Bulk Carriers for US$327 Million

Hong Kong – Paul Hastings, a leading global law firm, announced today that it has advised COSCO SHIPPING Development Co., Ltd. (Stock Code: 2866.HK and 601866.SH) (“COSCO SHIPPING Development”) on its acquisition of 16 bulk carriers under construction from indirect wholly-owned subsidiaries of COSCO SHIPPING Bulk Co., Ltd. (“COSCO SHIPPING Bulk”) for approximately US$327 million through assignment and novation agreements. Upon delivery, the bulk carriers will subsequently be leased to COSCO SHIPPING Bulk and its subsidiaries.

The Hong Kong and Shanghai-listed COSCO SHIPPING Development is principally engaged in shipping and industry-related leasing businesses, manufacturing of containers and provision of investment and financial services. COSCO SHIPPING Bulk is principally engaged in dry bulk shipping, semi-liner dry bulk shipping, whole-process logistics services, parcel cargo shipping services and coastal shipping services.

Paul Hastings previously represented COSCO SHIPPING Development in various transactions, including its recent US$4.62 billion leasing service agreement with COSCO SHIPPING Lines, its acquisition of ten multi-purpose vessels for US$180 million and sale of A shares and H shares of CIMC for RMB6.34 billion earlier this year, its repurchase of A shares and H shares for up to RMB300 million in 2019, as well as the merger between CS Finance, a non-wholly owned subsidiary of COSCO SHIPPING Development, and COSCO Finance in 2018.

The Paul Hastings team was led by Raymond Li, global partner and chair of Greater China, and corporate partner Bonnie Kong, with support from associate Andy Tam and trainee solicitor Beatrice Wun.

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