Comment / Base case: current Hapag-Zim deal falls at Golden Share hurdle

ID 368846107 © David Wood | Dreamstime.com

As opposition mounts against Hapag-Lloyd’s (HL) $4.2bn takeover of Zim’s international shipping business, could the Israeli government be about to scupper the deal?

Its share price movement – or lack thereof in the mid-$20 area; at a steep near-30% discount against HL’s $35/share cash offer – clearly indicates that the transaction continues to hang in the balance.

As we know… 

Hapag-Lloyd and the Israeli investment fund FIMI’s joint offer would carve up Zim – with the German carrier taking on its international business ...