French ocean carrier CMA CGM rejected a capital injection from Qatar Holding and will search further for outside investors.
Jacques Saade, the founder of the Marseilles-based carrier, said July 12 he called off negotiations because the conditions attached by Qatar's sovereign wealth fund were too onerous, French news agency AFP reported.
Saade, who was speaking on the sidelines of the christening of the carrier's largest container ship at the northern French port of Le Havre, also said CMA CGM is no longer in talks with California-based private equity investor Colony Capital.
By The Numbers: Asia-Europe Westbound Container Traffic.
CMA CGM last week said it plans to reach agreement with an investor by the end of July as part of its plan to restructure its $5.3 billion of debt.
The world's third largest carrier denied it was about to sign a deal under which Qatar Holding would provide $1 billion in cash in return for a 49 percent stake.
CMA CGM is said to be taking a tougher line in negotiations following a strong recovery in its financial position.
CMA CGM's cargo volume rose 21 percent in the first quarter from a year ago, revenue increased 29 percent to $3.2 billion and it earned $380 million before interest, tax, depreciation and amortization compared with a net loss of $260 million in the first three months of 2009.
Saade said he is still hopeful France's state investment company, FSI, would participate in the carrier's recapitalization once the carrier has reached agreement with an outside investor.
The 13,800 TEUs CMA CGM Christophe Colomb, which was christened by France's minister for Economic Affairs, Industry and Employment Christine Lagarde, is the largest French flagged container ship.
The vessel is the first of a series of eight ships which will be deployed on CMA CGM's Asia-Europe trade.
-- Contact Bruce Barnard at firstname.lastname@example.org.