Incorporation Of New Subsidiary In India
The Board of Directors of Samudera Shipping Line Ltd (the "Company") wishes to announce that the Company has incorporated an enterprise in India, Samudera Shipping Line (India) Private Limited ("Samudera - India" or the "Subsidiary"). The Company and its subsidiary, Foremost Maritime Pte Ltd, jointly owned SSL India and have a full management control over this entity.
Samudera - India, a company incorporated in Mumbai, has an authorized share capital of Rs2,500,000 comprising of 250,000 equity shares of par value Rs10/- each, of which 10,000 equity shares have been issued at par and fully paid up. The Subsidiary is expected to be in full operation by the beginning of 2004.
Samudera established its presence in the Indian Subcontinent in 1995, through NVOCC operation. In late 1996, its inaugural feeder service connected Mumbai with Singapore. Samudera has now grown to be an important player connecting Indian Subcontinent to Middle East in the west and South East Asia and Far East to the east. Samudera now operates 8 services, with a frequency of service ranging between once a week and twice a week, deploying 7 vessels on its own as well as using space from its slot partners, covering 10 ports in India.
The principal activity of Samudera - India shall mainly be to conduct the business of container shipping. The Management believes that with the establishment of Samudera - India, the Company will strengthen its operational control enabling it to achieve cost efficiency. In addition, through local attention, it expects to offer an improved level of service to its customers.
The Company said that its equity investment in Samudera - India is consistent with its stated strategy of GO REGIONAL, i.e. to expand geographically. The establishment of Samudera - India sends a clear signal to the market place that Samudera is indeed very committed to serve and develop India market.
In addition, Samudera's presence in India provides the Group a strategic position to explore business opportunities in other areas of interest, such as Industrial Shipping, Logistics etc., in that region.
The investment is not expected to have any material effect on the earnings per share and/or the net tangible assets per share of the Company for the financial year ending 31 December 2003.
Mr Anwarsyah, Mr Dhrubajyoti Das and Mr Saut Hutauruk are directors of both the Company and the Subsidiary.
Saved as disclosed above, none of the other directors or controlling shareholders of the Company has any direct or indirect interest in the subject matter of this announcement.