COSCO SHIPPING Ports announced on the Hong Kong Stock Exchange on October 26 that the German Ministry of Economic Affairs and Energy had partially approved the company’s acquisition of the Hamburg Port Terminal. According to the tracking of the most shipping company for more than a year, the German government’s internal opinions on this acquisition are not unified, and there is even news that it will veto the acquisition. However, the German Chancellor’s Office and the local government of Hamburg have always resisted all opinions and chose to stand on the side of the German business community, intending to promote the completion of the acquisition by the end of October.

According to the previous disclosure, HHLA agreed to sell and Guolong agreed to purchase, among other things, the sale shares (35% of the registered share capital of the target company). The 2021 Announcement also discloses that the closing is subject to the fulfillment of closing conditions including that the German Federal Ministry of Economic Affairs and Energy has (or is deemed to have) issued a certificate of no objection for the acquisition of the Sale Shares. The Board of Directors announces that, as at the date of this announcement, the Division issued a press release proposing partial approval of the transactions under the Share Purchase Agreement and the Shareholders’ Agreement, subject to a reduction in the number of Sale Shares that will not be equal to or greater than that of the Target Company 25% of the registered share capital; and certain other conditions regarding Guolong’s shareholder rights. The parties have not yet received a formal decision on the partial approval from the department and will consider the conditions after the department issues its decision.

HHLA stated that the cooperation between HHLA Group and COSCO SHIPPING does not make the two parties unilaterally dependent on either party. Instead, this collaboration strengthens supply chains, safeguards jobs and boosts German value chains. A smooth logistics supply chain is a basic prerequisite for global trade flow and prosperity. Security and progress need to be based on mutual cooperation and shared goals and interests. The cooperation between HHLA Group and COSCO SHIPPING also strengthens Hamburg as an important logistics hub in the North Sea and Baltic regions and Germany as a major exporter. Open and free world trade is the foundation of Hamburg. China’s economic aggregate accounts for nearly 20% of the global economy. Companies like HHLA Group hope and must maintain good relations with China’s trading partners.