The CMA CGM Group and Stonepeak, an alternative investment firm specialising in infrastructure and real assets, have launched a US joint venture (JV) to acquire 10 of the major CMA CGM-operated port terminals worldwide.
The JV, United Ports LLC (Limited Liability Company), is backed by a $2.4 billion investment from Stonepeak for a 25% minority stake.
“The creation of United Ports LLC, our joint venture with Stonepeak, marks an important step in the development of our terminal activities in the United States and globally,” said Rodolphe Saadé, chairman and chief executive of CMA CGM Group.
“Through this strategic partnership, we bring together ten CMA CGM-operated terminals across six countries, including major facilities such as FMS in Los Angeles, Port Liberty in New York, Santos in Brazil and Nhava Sheva in India.
“By joining forces with a partner with strong infrastructure expertise, we strengthen our ability to invest further in our port terminals, secure access to key gateways and enhance service quality for our customers,” said Saadé.
Stonepeak head of transportation & logistics, James Wyper, said container terminals were among the most difficult of infrastructure assets to substitute or replicate.
He said the joint venture represented a “differentiated opportunity” to invest in a high-quality portfolio of strategically located terminals alongside one of the world’s largest shipping and logistics groups.
“We look forward to working closely with CMA CGM’s expert team to support this critical infrastructure,” said Wyper.
The transaction will include 10 key assets: Los Angeles Fenix Marine Services (United States), Port Liberty terminals in New York and Bayonne (United States), Santos terminals (Brazil), CSP Valencia and CSP Bilbao (Spain), Terminal Maritima del Guadalquivir (Spain), TTI Algeciras (Spain), Nhava Sheva Freeport Terminal (India), CMA CGM Kaohsiung Terminal (Taiwan), and Gemalink in Cai Mep (Vietnam).
CMA CGM and Stonepeak will respectively hold 75% and 25% ownership stakes in United Ports LLC, while CMA CGM will retain full operational control.
Stonepeak said CMA CGM planned to reinvest the $2.4 billion proceeds from the transaction in the continued growth of the group’s core businesses, while expanding supply chain capacity to meet growing demand for shipping and logistics solutions.
Stonepeak said the joint venture marked the beginning of a long-term relationship between the two firms, including the potential to develop and support future investment capacity and new terminal projects in the US and globally. As part of the transaction, Stonepeak will have the opportunity to contribute an additional $3.6 billion in funding for future joint terminal projects.
The transaction is expected to close in the second half of this year, subject to customary regulatory approvals, including antitrust and foreign direct investment approvals.
