One of the world’s fastest-growing container shipping lines is offering shipowners equity in return for cuts in the cost of chartering ships as it struggles to avoid insolvency.

The offer by Zim Israel was disclosed in a lengthy announcement to the Tel Aviv stock exchange by the Israel Corporation, its parent, which is planning to lend Zim $350m to stay solvent during the worst-ever downturn for container shipping. Zim will offer owners of the 59 ships it charters convertible notes in return for cuts in charter rates.