Chinese Joint Venture Sets Sights on Turkish Container Terminal
- Business & Finance
COSCO Pacific, China Merchants Holdings International (CMHI) and CIC Capital Corporation have, through their respective wholly-owned subsidiaries, formed a joint venture to acquire equity interests in Fina Liman and Kumport in Turkey.
Fina Liman is an investment holding company whose only asset is its investment in Kumport, which is principally engaged in the ownership and operation of Kumport Terminal, a container terminal in the Ambarli Port Complex. The complex is on the northwest coast of the Marmara Sea on the European side of Istanbul.
The subsidiaries of COSCO Pacific, CMHI and CIC Capital hold 40%, 40% and 20%, respectively, of the shares in the joint venture company named Consortium SPV.
On September 16, the Consortium SPV as purchaser, Fina Holding as seller and Cosco Pacific, CMHI and LIC (a wholly-owned subsidiary of CIC) as guarantors entered into the Fina Liman SPA for the sale and purchase of approximately 64.522% of the issued share capital of Fina Liman for around USD 919.9 million.
The transaction is conditional upon the satisfaction of a number of conditions, including the approval from the Turkish Competition Board.