South Korean Firm Merges Shipping Companies to Become Asia's Largest LNG Carrier Operator

South Korean private equity firm Hahn & Co is reshuffling its liquefied natural gas tanker fleets to create Asia's largest and the world's third-largest operator of LNG carriers.

The agreement, announced by Hahn & Co on Thursday, involves SK Shipping receiving 16 LNG carriers and related long-term contracts from H-Line Shipping in exchange for 12 tankers, long-term contracts, and around $300 million in cash.

Once the transaction is complete, SK Shipping will operate up to 32 LNG carriers and 14 liquefied petroleum gas vessels.

Hahn & Co created H-Line in 2014 by acquiring Hanjin Shipping Co's dry-bulk operations, and later bought 80% of SK Shipping from SK Group in 2018.