Yangzijiang Shipbuilding, China’s largest private shipbuilder, is deepening its partnership with Seaspan—the world’s largest independent container ship owner—which stands as one of the leading shipyard’s most trusted long-term partners.
On March 10, Yangzijiang Shipbuilding announced that it has entered into definitive agreements with certain affiliates of Fairfax Financial Holdings and certain affiliates of the Washington Family (collectively referred to hereinafter as the “Sellers”) to acquire a 10% equity stake in Poseidon, the holding company of Seaspan—the world’s largest independent container ship owner.
Pursuant to the Share Purchase Agreement, Yangzijiang Shipbuilding has agreed to acquire a total of 29,175,274 shares in Poseidon from the Seller for an aggregate consideration of US$825.7 million; this consideration shall be paid in cash upon closing and funded through internal cash resources.
Upon completion of the acquisition, Yangzijiang Shipbuilding will jointly execute a Second Amended and Restated Shareholders’ Agreement with Poseidon’s other shareholders and Poseidon. As a minority shareholder in Poseidon following the completion of the transaction, Yangzijiang Shipbuilding is entitled, pursuant to the Shareholders’ Agreement, to one seat on the Board of Directors as well as customary minority shareholder protections, including rights of first refusal regarding certain share transfers, pre-emptive rights, tag-along rights, and reserved matters.
The announcement further disclosed that Hengyuan Asset Investment Limited—a private investment vehicle wholly owned and controlled by Ren Letian, Chairman and CEO of Yangzijiang Shipbuilding—will also participate in this share acquisition. It intends to acquire a 5% equity stake in Poseidon, under acquisition terms that are substantially identical to those of Yangzijiang Shipbuilding. Prior to the completion of the transaction, Hengyuan Asset Investment held no existing equity interest in Poseidon.
Yangzijiang Shipbuilding confirms that it has not entered into any joint venture or co-investment agreement or arrangement with Hengyuan Asset Investment, nor has a separate joint venture entity been established between the two parties for the purpose of investing in Poseidon. Both Yangzijiang Shipbuilding and Hengyuan Asset Investment have invested in Poseidon in their respective corporate capacities, in accordance with their own independent commercial objectives.
Yangzijiang Shipbuilding views Seaspan as an existing, long-standing, and key client; this acquisition will further strengthen the strategic relationship between Yangzijiang Shipbuilding and Seaspan, while also fostering closer, long-term collaboration. Furthermore, it facilitates the vertical integration of the value chain—enhancing the synergy between vessel demand, the Company’s production schedule, and its shipyard development strategy—which is of significant importance in advancing the Group’s overall interests. Concurrently, this acquisition will enable Yangzijiang Shipbuilding to gain deeper insights into end-market dynamics, thereby securing superior market intelligence and allowing for a more agile response to client needs.
It is understood that Seaspan is the world’s largest independent owner of container ships, primarily leasing its fleet of vessels to major container liner companies through long-term charter agreements. The company is wholly owned by Atlas, which, in turn, is wholly owned by Poseidon. Atlas was previously listed on the New York Stock Exchange but delisted in 2023 following a merger transaction with Poseidon Acquisition.
Data indicates that Seaspan’s fleet—including vessels currently under construction—comprises a total of 241 vessels with an aggregate capacity exceeding 2.5 million TEU. The fleet encompasses vessel types ranging from approximately 2,500 TEU to 24,000 TEU, boasts an average age of approximately five years, and maintains a vessel utilization rate approaching 99%. In addition to container ships, Seaspan has also established a presence in sectors such as car carriers and ethane carriers; specifically, its car carriers feature capacities ranging from 7,000 to 10,800 CEU.