HMM Eyes Stake in Two More Hanjin Terminals
- Business & Finance
South Korean shipping company Hyundai Merchant Marine has signed a deal with Hanjin Shipping and Marine Terminals Investment Limited (MTIL) to acquire Hanjin Pacific Corporation’s terminals in Tokyo and Kaohsiung.
Total acquisition price is about KRW 15 billion (USD 13.1 million) including a purchase and security deposit on the lease of the Tokyo port.
Hanjin Pacific Corporation (HPC), 60-percent owned by Hanjin Shipping and 40-percent owned by Marine Terminals Investment Limited, operates terminals at ports in Japan and Taiwan.
With this acquisition, HMM will secure a stake in four Hanjin terminals, including a 20 percent stake in terminal operator Total Terminals International LLC (TTI), a 100 percent stake in the Spanish Algeciras terminal, and now the 100 percent stake in each Tokyo and Kaohsiung terminals.
HMM said that it plans to complete the acquisition of Hanjin Pacific’s stake followed by detailed due diligence and regulatory approvals for each port.
“This acquisition of Hanjin Pacific’s stake will work to expand HMM’s port network and strengthen our sales competitiveness,” HMM said.
Additionally, the company informed that it expects that the acquisition will have “a synergistic effect with HMM+K2 consortium,” which starts on March 1.
In a separate announcement, Krishnapatnam Port Container Terminal (KPCT) informed that Hyundai Merchant Marine launched a direct weekly ASC service, which connects the Far East and South East Asia, from the terminal on February 17, 2017.
Inaugurated with a maiden vessel call by MV Hyundai Prestige, the service has a port rotation of Krishnapatnam (India) – Port Klang (Malaysia) – Singapore (Singapore)– Pusan – Ulsan (South Korea) – Shanghai – Hong Kong – Yantian (China).