The Danish shipping company Fabricius has established a joint venture in Vietnam with Saigon Shipping as its local partner. Fabricius Saigon Shipping Ltd. Ship Management is registered as a local company with permission to sail in domestic waters on a regular schedule along the coast of Vietnam.
The company has set up an office in Ho Chi Minh City with ten employees, including Danish expatriate staff, Mr. Jan Fabricius, CEO and Chairman of the company, told the Danish daily ErhvervsBladet.
The shipping company currently employs 300 people and manages 24 ships. Seven of these ships are owned or partly owned by the company.
By the end of November, the company announced its latest purchase, the 10 year old “Sea Flower”. At the same time, an expected additional purchase before the end of the year was announced.
Half a year ago, the company almost doubled its share capital to the current 9,5 mill. Danish kroner and made the investor C.C. Nielsen Vice Chairman of the board of directors. Former EAC Managing Director Carsten Dencker Nielsen is another heavy weight capacity on the board with his lifetime of experience in doing business in Asia.
“Holding board meetings has become more demanding now that we have a professional team on the board,” says Jan Fabricius. Mr. Fabricius expects a yearly increase in turnover of 20 percent and the target is a profit after tax in 2004 of 3,6 mill. kroner.
“With the agreed strategic plan we expect to see an expansion of the company over the next couple of years. The point in increasing the capital was to acquire the needed working capital to achieve the target defined by the management of the company,” he says.
Last year, the tough times for the shipping industry world wide saw the result drop below the expected profit, but still a slim profit was retained.