As part of the agreement to sell its stake in Total Terminals International (TTI), the bankrupt South Korean carrier Hanjin Shipping is also shedding its operations in the port of Seattle.
Namely, an affiliate of Geneva-based Mediterranean Shipping Company (MSC) will purchase Hanjin’s stake in Total Terminals International (TTI), the operator of Terminal 46 at the port of Seattle and the Californian port of Long Beach.
The 54 percent share will be sold to MSC’s Luxembourg-based Terminal Investment Limited.
“The terminal is leased until 2025. It’s hard to know what the long-term effects of this sale might be. We know the industry remains in flux as shipping lines shift their alliances,” a representative from Northwest Seaport Alliance (NWSA) said.
Last week, the Long Beach Board of Harbor Commissioners gave its approval for the deal, under which MSC will take over sole control of the long-term lease of the port’s largest terminal, the 381-acre Pier T container terminal.
The deal also guarantees the accelerated installation of ship-to-shore cranes capable of handling the world’s biggest container ships, the port of Long Beach earlier said.
MSC already holds the remaining 46 percent stake in Total Terminals International.
After the deal received approval from the Seoul Central District Court, the South Korean bankruptcy court sought approval from U.S. authorities, including the relevant ports.
World Maritime News Staff