Date
17 December 2017
China Shipping's Hong Kong-listed units have been struggling to turn around after a lackluster industry-wide performance last year. Photo: Bloomberg
China Shipping's Hong Kong-listed units have been struggling to turn around after a lackluster industry-wide performance last year. Photo: Bloomberg

Alibaba alliance talk boosts shares of China Shipping units

A potential collaboration with technology giant Alibaba Group Holding Ltd. has given a boost to the share prices of Hong Kong-listed units of China Shipping (Group) Co. Ltd.

China Shipping chairman Xu Lirong and vice president Huang Xiaowen have met with Alibaba chairman Jack Ma in Hangzhou, discussing e-commerce cooperation in international trade, a statement on the shipping company’s website said.

China Shipping Development Co. Ltd. (01138.HK) rose 5.3 percent to HK$4.36 (56.25 US cents) on Wednesday, while China Shipping Container Lines Co. Ltd. (02866.HK) closed 1.1 percent higher at HK$1.86.

The shipping group is one of the leading state-owned enterprises in the field, engaging in shipments of containers, dry bulk commodities and oil products. Four of its companies are listed in Hong Kong and the mainland.

Its two Hong Kong-listed units have been struggling to turn around after falling into the red amid a lackluster industry-wide performance last year. Meanwhile, two senior executives of the group are under investigation by anti-graft authorities.

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