Joint Colombian venture

The agreement will allow International Container Terminal Services (ICTSI) and PSA International to jointly develop, construct and operate the container port terminal anlong with its ancillary facilities.

It will mean PSA investing in Sociedad Puerto Industrial Aguadulce (SPIA) an indirect subsidiary of ICTSI, which holds the 30 year concession for the port terminal granted by the Agencia Nacional de Infraestructura of Colombia.

Both operators say that they share the same aspirations for Aguadulce and want to develop a terminal which ICTSI chairman and president, Enrique Razon Jr, says will be “key to Colombia’s trade growth.”

Tan Chong Meng, CEO, PSA, said the operator is “delighted to co-invest in the Aguadulce Port Project” and that the partnership will bring together “complementary strengths to ensure the terminal supports the growing demand for trade and logistics in Colombia.”

Tied in with the deal, PSA will acquire SPIA shares representing 45.64% of outstanding share capital, subject to certain conditions precedent to completion. Upon completion of the agreement, through their respective subsidiaries, ICTSI and PSA will jointly own 91.28% of SPIA.

Both operators refused to comment further on the issue.