Freightwaves: Could new Zim offer start bidding war? 

Published by freightwaves 

ZIM Integrated Shipping Services has approved a takeover but the deal could be put on hold after a new investor proposed a richer offer.

The Israeli liner earlier this year agreed to be acquired by Hapag-Lloyd of Germany and investor FIMI Opportunity Funds of Israel for $4.2 billion. That valued Zim at $35 per share, or a 58% premium at that time. The terms of the deal call for the creation of a separate entity, New Zim, which for national security purposes would control 16 Israel-flagged vessels, the Zim brand and a golden share owned by the government. 

The company’s shareholders overwhelmingly approved the deal in late April.

Hapag-Lloyd is the fifth-largest container carrier in the world. Zim would add capacity of about 700,000 twenty foot equivalent units (TEUs), but not move Hapag-Lloyd up in the rankings. 

Zim offers trans-Pacific headhaul services from Asia to the U.S. West and Gulf coasts, and to Mexico and the Caribbean.

Now, an all-cash bid of $4.5 billion has been made by businessman Haim Sakal and Israeli investors. It reportedly includes a $250 million employee‑bonus package, and the group has pledged to keep the fleet and operational headquarters under Israeli control.

Sakal is chairman of Sakal Holdings, with extensive experience in fashion, duty‑free and retail franchise operations in Israel and the region.

It is not clear whether Zim can legally switch to the rival proposal, though the Sakal group aims to force a review or extension‑related renegotiation.