Global steelmaking major ArcelorMittal has announced that it has signed a share purchase agreement with DryLog Ltd (DryLog) for the sale of a 50 percent stake in Global Chartering Limited (GCL), its wholly owned shipping business, and will subsequently form a 50:50 shipping joint venture with DryLog. The transaction is expected to close before the end of 2019.
GCL currently operates 28 dry cargo vessels, which range from Supramax to Cape Size, 25 of which are on long-term leases and will be transferred into the joint venture, with the remaining three being owned outright.
The joint venture will benefit from the combination of the two businesses’ respective knowledge and expertise, and ArcelorMittal’s extensive annual cargo commitments, a portion of which will be handled exclusively by the JV.