Maersk Line has obtained regulatory approval from 23 jurisdictions for its acquisition of Hamburg Süd.

According to Maersk, the regulatory process concluded with the approval by the Korea Fai Trade Commission.

“With the final approval of the acquisition we have reached an important milestone in our strategy to become an integrated transport and logistics company delivering sustainable growth,” said Søren Skou, CEO of A.P. Moller-Maersk. “These are truly exciting times and we are looking forward to taking the first steps forward as one company. Hamburg Süd is an outstanding brand with high-quality products. By combining our two businesses we will reinforce the global positions of both companies and enhance our service offers towards customers.”

Upon transfer of ownership, Ottmar Gast will retire as chairman of Hamburg Süd’s executive board to become the new chairman of Hamburg Süd’s supervisory board. Søren Toft, chief operating officer of A.P. Moller-Maersk, will become a member of Hamburg Süd’s supervisory board. Arnt Vespermann will become the new CEO of Hamburg Süd.

“Becoming part of the world’s number-one shipping company will create a lot of opportunities,” said Vespermann. “We will strengthen Hamburg Süd in the global playing field and grow our market share together. At the same time, Hamburg Süd will continue serving our customers as a separate brand.”

Maersk Line announced its intention to acquire the German shipping line in December 2016, in line with Maersk’s growth strategy. The two companies combined will be able to realize operational synergies of approximately US$350-400 million annually from 2019.

Hamburg Süd’s 105 vessels will be integrated into the Maersk Line fleet, for a total of 773 vessels. The two shipping lines will have a combined container capacity of 4.15 million TEUs and a 19.3% global fleet capacity share, according to Maersk.