Hapag-Lloyd said to speed up Frankfurt IPO plans on good results

[HAMBURG] Hapag-Lloyd AG, Germany's biggest container- shipping line, may bring forward to October plans for an initial public offering, after the company reports a profitable second- quarter, according to a person familiar with the plans.

The Hamburg-based company, which previously planned an IPO for the end of this year or in 2016, may start a road show for investors as early as next month, depending on market conditions, the person said. A company spokesman declined to comment.

Hapag-Lloyd last year merged with the container-shipping assets of Valparaiso, Chile-based CSAV to create the world's fourth-largest line with about 200 vessels, taking on industry leaders such as AP Moeller-Maersk A/S.

Chief Executive Officer Rolf Habben Jansen said in May Hapag-Lloyd needs three to five good quarters before going public. A solid second-quarter performance led the company and its three advisers Goldman Sachs Group Inc, Deutsche Bank AG and Joh Berenberg Gossler & Co. KG to revise plans, the person said.

An October IPO, planned for the Frankfurt stock exchange, may also help tour operator TUI AG divest its remaining 14 per cent stake in the shipping company earlier than expected.

Hapag-Lloyd returned to a profit at the start of the year as lower fuel costs, efficiency gains after the merger and a stronger dollar helped offset low freight rates. The company plans to publish second-quarter results on August 26.

BLOOMBERG