Global Infrastructure Partners, a private equity firm focused on global infrastructure asset investments, has agreed to acquire, through its portfolio company International Port Holdings,
Global Infrastructure Partners, a private equity firm focused on global infrastructure asset investments, has agreed to acquire, through its portfolio company International Port Holdings, a 25 per cent stake in Chennai Container Terminal.
The terminal is a state-of-the art facility located within Chennai port on the south-east coast of India, serving the strategically important trade route between Europe and east Asia, and is the leading container terminal on India’s east coast and the second largest private container terminal in India overall by traffic volume.
Since its opening in 2001, CCT’s volume has grown at a compounded annual rate of 18.7 per cent, making it the second fastest growing container terminal in the country. The terminal was built and developed by P&O Ports and is now operated by Dubai Ports World, which holds the remaining 75 per cent shareholding.
‘We are delighted that one of our first emerging market investments is in such a high growth, high quality asset within India’s manufacturing hub,’ says Adebayo Ogunlesi, chairman and managing partner of Global Infrastructure Management.
‘CCT provides a significant opportunity to gain a foothold in one of the most promising areas in the port sector, and the facility itself offers tremendous potential for further development. This investment significantly advances our global strategy of adding well-run port operating assets to the International Port Holdings portfolio.’
The Transaction is conditional on obtaining regulatory clearance from the government of India and approval from the Chennai Port Trust. The financial terms of the transaction have not been disclosed.
Global Infrastructure Partners, which has offices in New York, London and Hong Kong, is a private equity fund launched as a joint venture between Credit Suisse and General Electric that invests in global infrastructure assets in both OECD and emerging market countries. It targets investments in single assets and portfolios of assets and companies in the energy, transport and water sectors, including power generation and transmission, gas storage and pipelines, water assets, airports, air traffic control, ports and railroads.
