DIFC Welcomes Hapag-Lloyd To The Zone
by Lorys Charalambous, Lowtax.net, Cyprus
15 June, 2017
Dubai International Financial Centre (DIFC), the leading Middle Eastern financial hub, has welcomed Hapag-Lloyd to the Center, following one of the largest mergers involving a company based in the tax-free zone.
The multi-billion dollar merger of United Arab Shipping Company Limited (UASC), a DIFC company, with Hapag-Lloyd, a global leader in container shipping, created the fifth-largest shipping company, with 230 vessels, and a combined turnover of approximately USD12bn.
To make the merger possible, UASC was first re-domiciled to the DIFC. UASC also utilized a number of innovative special purpose vehicle structures available in the Centre.
Arif Amiri, CEO of DIFC Authority, commented: "We are pleased to welcome one of the most established and respected global shipping businesses to DIFC's business community, particularly at such an exciting time for the company as it announces the completion of its merger with Hapag-Lloyd. The move underlines how DIFC is quickly developing as a domicile of choice thanks to its experience in supporting companies with innovative structured finance transactions."
DIFC is a free trade zone located in Dubai, which offers a number of perks to firms, including zero percent income tax guaranteed for 50 years, 100 percent foreign ownership, and no exchange controls.
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