COSCO Pacific said that through a strategic partnership with Hutchison Port Holdings Trust, it is acquiring a 40 percent interest in Asia Container Terminal Holdings (ACT) for $212.65 million.
ACT operates Terminal 8 west at Kwai Chung in Hong Kong, adjacent to Terminal 8 east, the COSCO–HIT Terminal, another terminal that COSCO Pacific jointly controls with a subsidiary of Hutchison.
COSCO Pacific said the deal will allow it to increase its market share in Hong Kong. Combined, the two terminals form a quay length of 1,380 meters and encompass four berths with total annual capacity of 3.4 million TEUs. The terminal will be able to handle ultra-large container ships with capacity up to 19,000 TEUs.
“Both terminals will enjoy the synergy of enhanced operating flexibility and efficiency, which is a key success factor in attracting increasing numbers of large container vessels to call and thus enhances both terminals’ business growth and profitability,” COSCO said.
COSCO Pacific, Hutchison announce Hong Kong terminal deal
