Finance
Hapag-Lloyd buys Israel's ZIM Integrated Shipping for $4.2 billion
Published by Global Banking & Finance Review®
Posted on February 16, 2026
2 min readLast updated: February 16, 2026
Quick Summary
Hapag-Lloyd is negotiating to acquire ZIM Integrated Shipping, aiming to expand its market share to nearly 9% and solidify its position in the shipping industry.
Hapag-Lloyd Acquires ZIM Integrated Shipping for $4.2 Billion
Hapag-Lloyd's Strategic Acquisition
By Ludwig Burger
Market Reaction to the Deal
FRANKFURT, Feb 16 (Reuters) - Container shipping group Hapag-Lloyd said on Monday it would buy Israeli rival ZIM Integrated Shipping Services for $4.2 billion in a deal that would consolidate its position as one of the world's biggest ocean shipping companies.
Funding and Financial Details
"The merger would secure Hapag-Lloyd's market position as the fifth-largest shipping line in the world with a modern fleet of over 400 vessels," Hapag-Lloyd said, a day after it said it was in advanced talks to acquire ZIM.
Employee Response and Union Talks
Shares in Frankfurt-listed ZIM leapt 28.8% following the news, while Hapag shares sank 8%.
Hapag-Lloyd said the deal would be funded with the company's cash reserves and external financing of up to $2.5 billion.
News of the takeover prompted ZIM's employees to go on strike at the company's headquarters in Haifa on Sunday, the Times of Israel reported.
ZIM said management was in talks with the workers' union to avert any "negative impact" on operations and that it understood the employees' position, the Times of Israel said.
HAPAG-LLOYD'S MARKET SHARE TO RISE TO NEAR 9%, JPM SAYS
JP Morgan analysts said a deal would allow Hapag-Lloyd to grow its global market share from 7% to just under 9% without having to boost investment in a drawn-out process.
Hapag said talks were well advanced for FIMI to take on the obligations under Israeli rules. The Israeli government has a so-called "golden share" in the company, which gives it control over that part of the business, said Globes.
ZIM, valued at almost $2.7 billion as of Friday's close, said in November it had been reviewing its strategic options for several months after receiving a non-binding takeover proposal.
"This can be considered as a play to gain extra capacity near term (in lieu of fleet capex) ... Delivery slots at shipyards are not readily available near term," JP Morgan analysts said in a note.
ZIM has operations in more than 90 countries serving 300 ports worldwide, according to its website.
(Reporting by Ludwig Burger; Additional reporting by Christoph Steitz and Matthias Williams; Editing by Susan Fenton and Bernadette Baum)
Key Takeaways
- •Hapag-Lloyd is in advanced talks to acquire ZIM Integrated Shipping.
- •The acquisition would increase Hapag-Lloyd's market share to nearly 9%.
- •The deal involves Hapag-Lloyd and FIMI Opportunity Funds.
- •Regulatory approvals and shareholder votes are required.
- •ZIM is valued at almost $2.7 billion as of the latest market close.
Frequently Asked Questions about Hapag-Lloyd buys Israel's ZIM Integrated Shipping for $4.2 billion
1What is an acquisition?
An acquisition is a corporate action in which one company purchases most or all of another company's shares to gain control of that company.
2What is market share?
Market share is the portion of a market controlled by a particular company or product, often expressed as a percentage of total sales in the market.
3What is a bidding process?
A bidding process is a competitive method where multiple parties submit proposals to win a contract or purchase an asset, often involving price and terms negotiations.
4What is a binding agreement?
A binding agreement is a legal contract that obligates the parties involved to adhere to its terms and conditions, enforceable by law.
