German shipping group Hapag-Lloyd is revising its proposed $4.2 billion acquisition of ZIM Integrated Shipping Services after Israeli officials and workers warned that foreign ownership could weaken the country’s control over vital maritime connections.
Reuters reported that Hapag-Lloyd had held several rounds of discussions with Israel’s economy, finance and defence ministries and was preparing an improved proposal for consideration by the Israeli cabinet.
The revised structure is intended to preserve an Israeli-controlled shipping operation with direct access to important international routes.
Hapag-Lloyd chief executive Rolf Habben Jansen said the company was developing a proposal designed to strengthen Israel’s maritime security and independence, including continued access to shipping routes from Asia.
The proposed acquisition has not been completed and remains subject to government and regulatory approvals.
