Vietnam's leading seaport operator Viconship to form $38 mln shipbuilding entity

Viconship (HoSE: VSC), one of Vietnam’s leading seaport operators, plans to establish a new shipbuilding venture with charter capital of VND1 trillion ($38 million).

The company will hold a 60% stake, while Hai An Transport and Stevedoring JSC (HoSE: HAH), Vietnam’s largest container fleet operator, will own the remaining 40%, the firm said in a release last Friday.

The new entity, Hai An Green Shipping Lines, will be headquartered in the northern port city of Hai Phong.

Viconship and Hai An plan to invest about $180 million in the venture, starting with the construction of two 7,000-TEU container vessels to expand capacity and strengthen competitiveness on key regional and international routes.

The investment is expected to reduce per-container shipping costs, enhance synergies between Viconship’s ports and Hai An’s fleet, and help both companies capture greater market share.

Viconship currently owns and operates four terminals in Hai Phong with a total quay length of two kilometers, including a 36% stake in VIMC Dinh Vu Port.

Hai An runs a fleet with six weekly sailings and aims to raise the figure to 9-10 voyages as it expands international services to India (via a partnership with ZIM) and South Korea.

The two companies share several major clients, particularly South Korean shipping lines. To prevent conflicts and ensure fair competition, both sides said they have reached an agreement on freight rates.

In May, Viconship increased its holdings in Hai An to 12.66% after acquiring more than 2.2 million HAH shares. Following the transaction, Viconship and its subsidiaries collectively hold 19.88 million shares, equivalent to 15.31% of Hai An’s charter capital.