South Korean shipping companies SK Shipping and H-Line Shipping are set to reorganize their vessel portfolios through a major asset swap that will significantly expand SK Shipping’s presence in the liquefied natural gas (LNG) transportation sector. Both companies are controlled by private equity firm Hahn & Co.

Under the arrangement, SK Shipping will receive 16 LNG carriers and their associated long-term charter contracts from H-Line Shipping. In return, H-Line will take over 12 tankers and their related contracts, while SK Shipping will also provide approximately $300 million in cash as part of the transaction.

The transfer is expected to double SK Shipping’s LNG carrier fleet to 32 vessels. According to Hahn & Co., the expanded fleet would position SK Shipping among the world’s largest LNG carrier operators and further strengthen its focus on gas transportation supported by long-term contracts.

Meanwhile, H-Line Shipping will strengthen its tanker and dry bulk operations. The tanker assets being transferred reportedly include 11 very large crude carriers (VLCCs) and one medium-range product tanker, together with their associated contracts and financing arrangements.

The restructuring is intended to give the two shipping companies more distinct areas of specialization. SK Shipping will focus more heavily on LNG and other gas transportation, while H-Line will strengthen its tanker and dry bulk businesses. The transaction reflects continued consolidation and specialization within South Korea’s shipping industry as companies adjust their fleets to changing global energy and maritime markets.