The following release was published by COSCO:
COSCO SHIPPING Ports Limited (‘COSCO SHIPPING Ports’ or ‘the Company’) announces its acquisition in 12.5% and 30% of the equity stakes in Thai Laemchabang Terminal Co., Ltd. (‘TLT’) and Hutchison Laemchabang Terminal Limited (‘HLT’), respectively. During the project signing ceremony held in Vietnam on 23 October 2024, under the witness of Mr. ZHU Tao, the Chairman of the Board of COSCO SHIPPING Ports, Mr. ZHAO Fengnian, the Chief Accountant, signed the project agreement with partnering companies on behalf of COSCO SHIPPING Ports.
The consideration for the acquisition is approximately USD 110 million, which includes the Berth A2 in TLT, Berths A3, C1-C2 and D1-D3 in HLT, where D1-D3 is partly under construction. The total annual capacity will be about 6.7 million TEU once fully completed and operational. TLT and HLT are the largest terminal operators in the region of Laem Chabang Port. Laem Chabang Port, located to the southeast of Bangkok in Thailand and approximately 60 nautical miles from the Port of Bangkok, is the largest deep-water port in Thailand and serves as the country’s most important international container hub, accounting for approximately 80% of total throughput in Thailand. With the active support of the Thai government in the development of Laem Chabang Port, there will be continued development and expansion of infrastructure projects such as the Thailand Eastern Economic Corridor. Currently, the Laem Chabang Port is the main port of call for COSCO SHIPPING Lines dual brands in Thailand.
The acquisition will help further develop the trade and economic ties between China and Thailand. It will also help COSCO SHIPPING Ports optimize the layout of port resources and deepen the synergies between port and shipping companies. The Company will further strengthen the relationship with COSCO SHIPPING Lines dual brands and the other shipping companies in Thailand and Southeast Asia, comprehensively enhance the capabilities of local extended logistics businesses and provide customers with better services as well as accelerate the transformation and upgrading of the port from a single port function to a comprehensive logistics supply chain hub. The Company believes that the acquisition is of great strategic significance and has good market growth prospects, helps improve the performance of existing global network services on a continuous basis, and enable the Company to become “the leading global port logistics service provider with a customer-oriented focus”.
Source: COSCO