Deal in the works: NOL mulling potential sale or IPO of logistics business

Don’t get too excited about media reports, firm cautions.

Neptune Orient Lines made the headlines today after reports circulated that it is planning to sell off its logistics business for $750 million to $900 million.

However, the company cautioned that all considerations are “preliminary and exploratory in nature”, and that it is mulling an IPO apart from the sale.

“NOL wishes to state that it continually evaluates all available options to improve the strategic positioning and performance of its business. These include considerations of a potential sale or initial public offering and listing of its logistics business as a separate, stand-alone unit from NOL,” it stated.

But the company reiterated that there is no assurance that any definitive transaction for the sale or an IPO of the logistics business will be concluded.

“NOL’s shareholders and prospective investors are therefore advised to exercise caution when dealing in NOL shares and its other securities. NOL will release further announcements if and when there are any material developments,” NOL noted.