Supply Chain Research

Hyundai Merchant Marine is close to securing $630 million of equity and convertible financing from state-backed Korea Shipping. That would reduce its net debt to capital to 26% from 56% at the end of the third quarter assuming no other changes in capital and that convertible debt becomes equity. Having had a debt ratio well above its larger container-liner peers for the past seven years it would then be well below the group. That would allow it to progress with plans to buy 15-16 new liners. While not significant in an industry context, a return to capacity growth would not be helpful fo...