THE Canada Pension Plan Investment Board (CPP) will acquire the remaining 90.6 per cent it does not own in New Jersey-based Ports America from Oaktree Capital Management, reports IHS Media.
The value of the transaction was not disclosed, but sources have indicated that Ports America is valued at US$4 billion.
Toronto-based CPP, which has $519 billion in assets under management, first bought a 9.4 per cent stake in Ports America in 2014. Los Angeles-based Oaktree Capital acquired the majority stake in Ports America the same year through its acquisition of New York's Highstar Capital.
Frank Switzer, a managing director at CPP, said the fund was interested in taking full ownership of Ports America because of its growth opportunities and exposure to growth in US trade.
CPP's only other related investment is in London-based Associated British Ports, which owns and operates 21 ports in the United Kingdom, managing around 25 per cent of the UK's sea-borne trade.
Ports America is undertaking a capacity expansion at Baltimore's Seagirt Marine Terminal that will enable it to service two 14,000 TEU ships simultaneously. Ports America's Port Newark Container Terminal, which completed a major capacity expansion last year, plans to add two more ship-to-shore cranes and straddle carriers in the coming years.
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The value of the transaction was not disclosed, but sources have indicated that Ports America is valued at US$4 billion.
Toronto-based CPP, which has $519 billion in assets under management, first bought a 9.4 per cent stake in Ports America in 2014. Los Angeles-based Oaktree Capital acquired the majority stake in Ports America the same year through its acquisition of New York's Highstar Capital.
Frank Switzer, a managing director at CPP, said the fund was interested in taking full ownership of Ports America because of its growth opportunities and exposure to growth in US trade.
CPP's only other related investment is in London-based Associated British Ports, which owns and operates 21 ports in the United Kingdom, managing around 25 per cent of the UK's sea-borne trade.
Ports America is undertaking a capacity expansion at Baltimore's Seagirt Marine Terminal that will enable it to service two 14,000 TEU ships simultaneously. Ports America's Port Newark Container Terminal, which completed a major capacity expansion last year, plans to add two more ship-to-shore cranes and straddle carriers in the coming years.
SeaNews Turkey