Shares of ZIM Integrated Shipping (NYSE:ZIM) jumped sharply, climbing 20% in early Monday trading after reports emerged that CEO Eli Glickman, along with a group of executives, is pursuing a plan to take the company private.
Israeli business outlet Calcalist reported that Glickman, together with five other executives and entrepreneur Rami Ungar, is preparing an acquisition offer for the Israel-based shipping firm. The proposed deal reportedly values ZIM at as much as $2.4 billion—well above its market cap of around $1.87 billion at the last closing price.
The source behind the report was not identified. Should the privatization proceed, ZIM would be delisted from public exchanges, ending its exposure to the market volatility that has characterized recent years amid shifting shipping rates and geopolitical challenges impacting global maritime routes.
Operating a worldwide container shipping network, ZIM has been contending with tough market conditions as the industry adapts to new trade flows following the pandemic. Despite recent security issues in the Red Sea, the company has continued to run its routes through the region.
The sharp rise in ZIM’s stock price reflects investor optimism about the potential premium in the proposed buyout, which is estimated to offer roughly a 28% premium over the company’s previous market valuation.
ZIM Integrated Shipping stock price
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