Having cleared global antitrust reviews, China’s two largest state-owned shipbuilding conglomerates took a step closer to their planned merger, reports Caixin.
According to statements issued on Tuesday, China State Shipbuilding Corp. Ltd. (CSSC) and China Shipbuilding Industry Corp. (CSIC) plan to merge into China Shipping Group. The statements, issues by CSSC’s two Shanghai-listed units, made clear that the joint restructuring plan had been approved by the State Council.
The companies are now evaluating themselves in order to eradicate any existing competition within the group, the CSSC units said. The completion of the international antitrust review signals the start of the substantial integration between the conglomerates.
China Shipping group will integrate both enterprises’ commercial shipbuilding businesses, while CSIC’s China Shipbuilding Industry Co. will focus on military shipbuilding and research.