SMT Shipping and CSL Group announce shipping joint venture

SMT Shipping (SMT) and The CSL Group (CSL) have announced an agreement for CSL to acquire 50 per cent of Eureka Shipping Ltd, SMT's pneumatic cement vessel business.

The new joint venture will allow Eureka and CSL to combine expertise, resources and innovative technologies to expand services to customers in the seaborne cement powder and fly ash transportation markets around the world. CSL's Australian cement shipping business is not included in the joint venture.

"The joint venture represents an important step in CSL's strategy to increase its presence in the global construction material sector," said Louis Martel, president and CEO of The CSL Group. "We are confident that the synergies between CSL and the Eureka team, along with our common values and complementary skills will further strengthen our ability to provide significant value to our customers and an effective platform for growth."

"SMT Shipping is honoured to partner with CSL in Eureka," said Mark Voorham, CEO of SMT Shipping. "We feel the new joint venture will harness the strengths of both respected companies, which will work together seamlessly to serve our clients with the highest levels of service and professionalism."

"For Eureka Shipping, the partnership with CSL provides a strong, collaborative platform to further invest in innovative logistics solutions to the benefit of our customers in the cement and building materials industries," added Kai Grotterud, CEO, Eureka Shipping Ltd.

The transaction is subject to certain regulatory conditions and is expected to close by end of June.