The shares of TTI Algeciras are held by HMM and HT Algeciras — a special purpose company wholly managed by HMM. HMM holds a stake of 50 per cent minus one stake, with the remaining 50 per cent plus one share owned by HT Algeciras.

After selling its own 50 percent stake, HMM will continue to retain its position as the largest shareholder through HT Algeciras.

The financial details, including the price of the deal, have not been disclosed.

The agreement, subject to regulatory approvals, is scheduled to be concluded in Q4 2020 for the start of joint operations.

As noted, HMM expects a significant synergy impact based on strategic cooperation with CMA CGM to boost productivity and operational capabilities by securing additional cargoes.

“TTI Algeciras has a great geographical advantage to play an integral role as a transshipment hub located at the centre of containerised cargo flow on main trade lanes. We believe TTI Algeciras will take centre stage in the Gibraltar area as it has a high potential for future growth and development,” an HMM official said.

TTI Algeciras was previously owned by Hanjin Shipping, but HMM bought a 100 % stake in the terminal in 2017.

The terminal will handle the current and future waves of ultra-large container vessels (ULCVs) with eight ship-to - shore cranes, 32 automated stacking cranes and 21 shuttle carriers.

Maritime Business World