Ro-ro shipping and logistics group Wallenius Wilhelmsen has acquired the remaining shares in New Zealand-headquartered shipping company Armacup.
Previously, Wallenius Wilhelmsen held a 65 percent stake in the company. In 2022, an amended shareholder agreement stipulated that Wallenius Wilhelmsen was to buy the remaining shares, with that process coming to a close on April 30.
According to Xavier Leroi, chairman of the board at Armacup and chief operating officer shipping services at Wallenius Wilhelmsen, the acquisition “is a strategic move that will also bring growth opportunities in the Asia-Oceania trade through Wallenius Wilhelmsen’s market-leading capacity and our existing investment in integrated logistics offerings in Australia”.
Already, Armacup and Wallenius Wilhelmsen benefit from a shared pool of vessels, agencies in China and Australia, and customer base. Armacup’s activities in the Asia-Oceania trade services OEMs in major export markets Japan, China and South Korea, catering to vehicles; agricultural mining and construction equipment; trucks and buses; as well as breakbulk and project cargoes.
Wallenius Wilhelmsen further strengthened its position in the high and heavy segment recently with a three-year contract from a leading construction and mining equipment manufacturer.
The contract is estimated to have a value of approximately USD140 million, based on expected volumes over the three-year period, and includes support for Wallenius Wilhelmsen’s decarbonisation initiatives with a new BAF scheme accommodating the expected evolution of the company’s fuel mix for the future.
Pia Synnerman, chief customer officer at Wallenius Wilhelmsen, said that the contract continues the company’s positive start to 2025. EBITDA for Q1 totalled USD462 million – a year-on-year increase of 5 percent.
Total revenue for Q1 was USD1,297 million, up from USD1,255 million for the same period last year. Net profit also increased year-on-year, with a total of USD246 million in Q1 2025, an increase of 22 percent from Q1 2024.
This was mainly driven by strong results in the shipping and government segments, with Lasse Kristoffersen, president and ceo of Wallenius Wilhelmsen, commenting that the “solid financial results” were achieved “despite seasonally low volumes, soft H&H [high and heavy] markets, and an uncertain market environment”.
While uncertainties relating to US tariffs and port dues continue, Wallenius Wilhelmsen said it maintains a positive outlook for the year, with solid demand for its services, particularly out of Asia.
“While we see and expect a decline in US imports and possibly exports, other regions are seeing growth – especially out of Asia. We expect this to continue for the rest of the year, resulting in high utilisation in particular for the shipping and government segments,” explained Kristoffersen.
Some of the highlights included in Wallenius Wilhelmsen’s Q1 report include signals for continued strong demand for its services, with several long-term contracts confirmed for both the shipping and logistics segments, as well as the conclusion of the sale of its Melbourne International RoRo & Auto Terminal (MIRRAT) to Australian Amalgamated Terminals.
