Ane Uggla, Chairman of A.P. Møller Holding A/S and the A.P. Møller Foundation, announced Group’s future plans in an effort to ‘secure another century of growth for the company’. In an article posted on Maersk’s website, Mrs Uggla said that the Group is being redefined with the ‘establishment of A.P. Møller Holding as the ‘mother company’ of the Maersk activities’. This announcement follows recent losses reported in 2016 and Group’s Chairman Michael Pram Rasmussen replacement by ex-SAP Chief Executive Jim Hagemann.
Speaking at the Global Leadership Conference for the Transport & Logistics division held in Copenhagen in January 2017, Ane Uggla outlined her thoughts about the company established by her grandfather A.P. Møller, and the role of A.P. Møller Holding A/S as the majority shareholder.
“We as major owners aspire to own a viable group of companies for at least another 100 years, having a meaningful and positive impact here in Denmark as well as globally.”
As the new strategy unfolds and some of the Maersk activities become separate businesses owned directly by its shareholders, it is clear that A.P. Møller Holding – established in 2013 to act as the investment arm of the A.P. Møller Foundation – will play an important role.
“We are redefining the Group with the establishment of A.P. Møller Holding as the ‘mother company’ of the Maersk activities,” explains Ane Uggla.
The purpose of AP. Møller Holding is to exercise its role as an active owner in the spirit of A.P. Møller and to ensure that the Foundation has the financial means to contribute to society for generations to come.
“Going forward A.P. Møller Holding intends to own – partly or as a majority shareholder – several of the Maersk-related activities directly. This will not happen overnight but during the next few years, based on a process decided by the Board of A.P. Moller – Maersk.”
A.P. Møller Holding intends to secure the long-term viability of the Maersk activities and of Danske Bank. On that Ane Uggla reflects:
“We will ensure that we hold a diversified and financially robust portfolio – to be able to sustain unexpected negative developments. And finally, we will continue building new businesses – in our portfolio companies as well as separately in A.P. Møller Holding.”
Earlier in February, Maersk released Group’s financial results highlighting that 2016 was a ‘difficult year’ as the A.P. Moller – Maersk reported a loss of USD 1.9bn negatively impacted by impairments in 2016 of USD 2.7bn in Maersk Supply Service and in Maersk Drilling as a consequence of an expected weaker outlook.
‘’2016 was a difficult year financially, with headwinds in all of our markets. However, it was also a year when we decided to substantially transform A.P. Moller – Maersk for the future. We have set a new course that over the next few years will lead A.P. Moller – Maersk to become a focused container shipping, logistics and ports company with the aim of growing revenue again.’’ Maersk Group CEO Søren Skou commented.
Mr. Skou said that Group’s priorities to move forward in 2017 will remain in integrating its Transport & Logistics businesses as well as progressing the work on finding structural solutions for each of its oil and oil-related businesses. It is expected, A.P. Moller – Maersk to deliver an underlying profit above 2016 this year, with an improvement in underlying profit in excess of USD 1bn in Maersk Line compared to 2016.