15 July 2020
Baker McKenzie recently advised China Merchants Port Holdings on the sale of approximately 23.5% shareholding interest and the assignment of its rights in approximately 23.5% of certain shareholders loan in its wholly owned subsidiary Gainpro Resources, which holds 85% interest of Hambantota International Port Group (HIPG), to Fujian Transportation Maritime Silk Road Investment and Management ("Fujian TMSR") for USD 268 million.
Fujian TMSR is an affiliate of Fujian Provincial Communication Transportation Group (FJCT). FJCT is principally engaged in the management of state-owned assets and corresponding capital gains by investing, developing, operating and managing ports, water transportation, road transportation, logistics and other transportation projects.
Sri Lanka-based HIPG is principally engaged in developing, operating, maintaining and managing the Hambantota Port ("Port") in Hambantota, Sri Lanka. The Port is a comprehensive deep-water port, with 10 berths and a quay length of up to 3,487 meters. The berths can handle containers, bulk cargoes, general cargoes, roll-on/roll-off cargoes, liquid bulk and marine bunkers.
The Baker McKenzie team was led by M&A Partner Tracy Wut and Registered Foreign Lawyer Ian Chen. They were assisted by Capital Markets Partner Christina Lee, Special Counsel Brian Wong, and Associates Brian Chu and Karen Wong.
Commenting on the deal, Tracy said, "We are delighted to have been able to assist our client on this strategic transaction. This transaction not only further deepens the cooperation between our client and FJCT, but also helps promote the future development of the Port."
For further information, please contact:
Tracy O.C. Wut Partner, Baker & McKenzie