Cosco Corp unit secures vessel-building contracts worth over $587.7m

SINGAPORE - A subsidiary of Cosco Corporation has won contracts worth over US$470 million (S$587.7 million) to build four subsea supply vessels, the company said on Wednesday.

The contracts won by Cosco (Dalian) Shipyard, a unit of Cosco's 51 per cent-owned subsidiary Cosco Shipyard Group, include options for two additional vessels.

Client Maersk Supply Service, part of the A.P. Moller-Maersk Group, expects to receive the vessels in the fourth quarter of 2016 and the first half of 2017.

The contracts are not anticipated to have a material impact on the net tangible assets and earnings per share of Cosco for the current financial year, the company said.