Shanghai Hai Xing strikes deal with China Shipping

Shanghai Hai Xing Shipping has entered into an agreement with China Shipping - which is wholly owned by the Ministry of Communications - for the transfer of 1.4 billion domestic shares in the company, representing 56.45 per cent of its issued share capital. The deal, first announced on July 11, will require approval from the state-owned Assets Administration Bureau and a waiver from the Securities and Futures Commission exempting it from making a general offer. China Shipping said it would set up a group chaired by its president Li Kelin to 'study and review the existing scope of the company's business, the allocation of resources and business between the company and other enterprises controlled by China Shipping'.