GE Shipping exits United Shippers

GE Shipping, the country's largest private shipping company, has exited United Shippers, a Mumbai-based barging and cargo handling firm.

Enam Chairman Vallabh Bhansali's private equity firm and two international shipping companies have picked up the stake.

GE Shipping had acquired 26 per cent stake in USL for an undisclosed sim in December 2005.

While Italian shipping company Coeclerici and Bhansali, who is the chairman of leading merchant banking group Enam, have picked up 7.5 per cent each, the Monte Carlo-based tanker shipping company Scorship Tanker has bought 10 per cent. The balance 1 per cent has been bought back by the promoters, the Parekh family. Scorship is a leading tanker company, while Coeclerici is focussed on dry bulk shipping, and is also present in coal handling and raw material trading. USL Managing Director Sunil Parekh confirmed the development, but declined to divulge the value of the transaction.

A senior GE Shipping executive said the company has exited at the same price it paid for acquiring the stake. "There is no profit or loss in the transaction," she added.

According to sources, the investment in USL was not making any business sense for GE Shipping.

USL is a closely held company. With operational headquarters at Jamnagar (Gujarat), USL owns and operates over 35 own barges and 15 chartered barges along with other port equipment and truck fleet. The company is also into cargo chartering and has handled over 6 million tonnes of cargo last year.