Container port business trust Hutchison Port Holdings Trust (HPH Trust) has reached an agreement to purchase a majority stake in Huizhou International Container Terminals Limited (HICT).
Through its subsidiaries, Yantian International Container Terminals (Phase III) Limited (YICT III) and Shenzhen Pingyan Multimodal Company Limited (PML), HPH Trust will acquire 65% and 15% of HITC equity interest, respectively.
The company said that, upon completion of the acquisition, HICT will be jointly held by YICT III, Huizhou Port Group (HPG) and PML in the proportions of 65%, 20% and 15%.
According to HPH Trust, the two companies are paying USD 86.2 million in two instalments for the share.
The acquisition will be funded from the internal resources of YICT III and PML, and is not expected to have any material impact on the financial position of HPH Trust for the current financial year ending December 31, 2016.
Huizhou International Container Terminals, situated in the southeastern Guangdong Province, China, comprises two 50,000-tonne container berths and one 3,000-ton container berth with an area of 60 hectares, a total quay length of 800 metres and depth alongside of 15.7 metres.