The 8 mega-containers will be purchased from Hyundai Shipyard. The company will receive the ships during the second half of 2009
The board of directors of the Israeli Zim Shipping Services company approved last Wednesday a huge deal to purchase 8 mega container ships from the Korean Hyundai shipyard.
According to the statement, Zim will buy four ships capable of carrying 8,200 TEU's and four ships capable of carrying 10,000 TEU's.
The deal is worth USD 1 billion, and Zim will take delivery of the ships during the second half of 2009.
Israel Corporation announced that the deal would be financed by the company’s existing capital, following the bond issue of last year. It will also consider the option of selling the ships and leasing them back.
Zim's Chairman Idan Ofer, and President & CEO Doron Goder said that the acquisition of the new ships is a significant step which will help ZIM to prepare for future developments in world shipping.
"The deal will enhance Zim's service, minimize shipping time, and expand shipping lines to Asia, Europe, and America," said Zim's President and CEO Doron Goder.
Ordering of this type of large capacity vessels is an important stage in Zim's 5-years strategic plan as outlined by the Board of Directors, which includes a target of doubling Zim's carriage capacity and increasing profitability.
These new-generation ships will join Zim's fleet in the coming years and will enable Zim to upgrade services, decrease transit times to various destinations and expand the company's deployment of shipping lines between Asia, America and Europe.
Since Zim was privatized more than two years ago, it has embarked on a purchasing spree as part of its multi-year program to double its capacity and its business. In the past 12 months Zim purchased 12 new ships in addition to the ones ordered from Hyundai.
