CMA CGM Terminal Link sale to CMHI Brings Chinese Ownership to PortaMiami, Belgium, Pusan and Malta, along with domination of terminals in Mainland China.
Hong Kong: China Merchants Holdings International has completed its buy into CMA CGM’s terminal portfolio. A signing ceremony was held in Luxembourg. Terminal Link, the French containerline’s port subsidiary, owns 15 container terminals in eight countries.
As previously reported by South East Shipping News service “Terminal Link, 100% subsidiary of the CMA CGM Group, operates, develops and invests in a global network of 15 terminals including a parthership with APM at PortMiami.
Terminal Link serves as the signatory of the 15-year agreement with Miami-Dade County and the terminal is operated by a joint venture company, South Florida Container Terminal, in which Terminal Link holds a 51 percent stake and APMT holds 49 percent. The terminal operates on the 71 acre site (pictured above) formerly held by APMT.
Terminal Link operates 15 terminals worldwide, including Belgium’s Antwerp Gateway, the Busan New Container Terminal and Malta Freeport Terminal, and is the world's twelfth largest terminal operator handling 8.1 million TEU annually.
According to CMA CGM, Terminal Link ranks #12 worldwide based on throughput.
CMHI, the largest public port operator in China, has invested or operates port business in 8 major cities along China Mainland’s 5 most economically-active regions (Shenzhen, Hong Kong, Shanghai, Ningbo, Qingdao, Tianjin, Xiamen and Zhanjiang). Recently it also added to its port portfolio assets in Colombo of Sri Lanka and in Africa. The total container volume handled by its port portfolio exceeds 60 mn TEU in 2012.
CMHI is a separate entity from China Harbour Engineering Company which is in negotiations to build several Caribbean Basin cargo terminals including a major transshipment terminal in Jamaica.
CMHI has spent $537m to take a 49% stake in the port terminal operating company.
Farid Salem, CMA CGM's executive officer, said: "CMA CGM is very pleased to enter a new strategic partnership with CMHI which will allow us to join our complementary forces to operate and further develop in Terminals investments."
The transaction, subject to regulatory approval, was formalised by the signing by both parties of a Shareholders Agreement.
“The smooth completion of this transaction reflects the recognition and consent to the transaction from the governments from whose regulatory unit’s consents and approvals were obtained,” said China Merchants Group assistant president & CMHI managing director, Dr. Hu Jianhua.
“The process to seek approvals and consents has also helped to anchor Terminal Link’s platform through which to further develop its ports businesses in these areas.”
CMHI’s intention to acquire a stake in Marseille-based CMA CGM’s terminal operating arm was announced in January this year.
“CMA CGM is very pleased to enter a new strategic partnership with CMHI which will allow us to join our complementary forces to operate and further develop in Terminals investments,” added Farid Salem, CMA CGM’s executive officer.
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