Citizenship rejects municipalization of HHLA
The controversial investment by the world's largest shipping company MSC in Hamburg's port logistics company HHLA has once again reached the city parliament - albeit without further consequences for the time being. On Wednesday, MPs rejected a motion by the Left Party by a large majority, according to which the city should not only retain its shares, but also make an offer for the shares in free float. According to the Left Party's idea, this would turn HHLA back into a fully city-owned company that is exclusively committed to the interests of the people of Hamburg. The vast majority of parliamentarians found this plan so absurd that they did not want to discuss it in depth in the Economics Committee.
Norbert Hackbusch, port policy spokesman for the left-wing parliamentary group, called the red-green Senate naive and recalled earlier privatisations, some of which are still causing difficulties for the city today, such as the sale of municipal properties. He accused the SPD of having massively opposed the sale of Hamburger Hafen und Logistik AG (HHLA) to Deutsche Bahn as an opposition party 20 years ago and now selling off the port as a governing party.
Hackbusch said that he also had serious reservations about MSC and its management. He referred to the sale of the Hamburg Süd shipping company to the Danish shipping company Maersk. At the time, all sorts of promises had been made - by the same man in Maersk's service who is now leading the HHLA deal as MSC boss: Søren Toft. The Hamburg Süd shipping company was fully integrated into Maersk this year, and since the end of February, after more than 150 years, the name no longer even exists.
The government factions of the SPD and Greens pointed out that the planned deal was a strategic partnership in which all employee rights were secured. Even the trade union Verdi welcomed the protection of employees, said SPD port expert Markus Schreiber. According to the binding letter of intent between the City of Hamburg and MSC, HHLA is to be run as a joint venture after the successful completion of the transaction, with the City holding at least 50.1 percent and MSC a maximum of 49.9 percent. The city still holds around 69 percent of HHLA. MSC is currently in the process of buying up HHLA shares and is offering 16.75 euros per share.
Despite the Left Party's proposal to fully municipalize HHLA and make an offer for its free float shares, the city parliament rejected the motion by a large margin. This decision ensures that The company, HHLA, remains partially owned by a major shipping company, MSC.
Source: www.dpa.com
