Amid a crowded field Cosco has picked a consortium led by Macquarie Infrastructure Partners to buy out a terminal in Long Beach belonging to subsidiary Orient Overseas Container Line (OOCL).
The Chinese shipping giant had to sell the terminal as part of US authorities agreeing the takeover of OOCL last year. Long Beach Container Terminal is one of the most advanced box handling facilities in California and Cosco was not short of offers for the prime site, eventually accepting Macquarie’s $1.78bn bid.
As part of the sale, OOCL has committed to call at the terminal for the next 20 years.
Commenting on the sale, Andy Tung, co-CEO of OOCL, said: “Over the past 30 years, we have developed Long Beach Container Terminal into the safest, most efficient and lowest-emission terminal in the United States. We are confident of the future prospects of the terminal under the ownership of MIP and its co-investors, and we look forward to being a long term strategic customer of Long Beach Container Terminal and the Port of Long Beach.”