Shenzhen Chiwan Wharf to acquire $3.8bn stake in China Merchants Port
Shenzhen Chiwan Wharf has announced plans to acquire a 38.72% stake in China Merchants Port Holdings (CMPH) for a total price of RMB24.65bn ($3.8bn).
Shenzhen Chiwan will complete the deal via issuing new shares to China Merchants Investment Development (CMID), the current shareholder of CMPH.
In the meantime, Shenzhen Chiwan entered an agreement with China Merchants Hong Kong to another 32% equity share in CMPH.
Shenzhen Chiwan plans to raise RMB4bn from institutional investors and the proceeds will be used for the infrastructure development projects.
The deal is part of China Merchants Group’s grand plan announced in May, to integrate all its port-related assets into Shenzhen Chiwan, which will become the integrated port operating platform of China Merchants.
