HAGMAN WILL HEAD NEW KOREAN CAR CARRIER
Wilh. Wilhelmsen ASA and Wallenius Lines AB have signed an agreement with Hyundai Merchant Marine in which Wilhelmsen and Wallenius will acquire Hyundai’s car carrier division for $1.3 billion.
Carl Johan Hagman, president of Wallenius Lines, has been appointed president and chief executive officer of the newly established, but as yet unnamed company. The new company will be incorporated in South Korea with Wilhelmsen and Wallenius together holding an 80-percent share, and the Hyundai Motor Co. and Kia Motor Corp. together holding a 20-percent share.
The price for the acquisition includes the assumption of future vessel charter operations. The agreement also includes exclusive contracts with Hyundai Motor and Kia Motors to ship their car exports for five years, with provisions for extensions.