MSC set to rocket to top of terminal operator table

The announcement on March 4, 2025 that CK Hutchison would be selling its 80 percent stake in Hutchison Ports Holding to a BlackRock-Terminal Investment (TiL) consortium is set to rocket MSC to the top of Drewry’s Global Terminal Operator (GTO) league table.

Hutchison Ports, which is currently owned 80 percent CK Hutchison and 20 percent PSA International, operates a portfolio of 43 maritime container terminals outside of China and Hong Kong stretching from Australia to the United Arab Emirates, says the update from Drewry. "The combined capacity of these terminals was over 73 million TEU at the end of 2023, with a total throughput of almost 47 million TEU."

MSC’s portfolio – including its majority (70 percent) stake in TiL and 100 percent shareholding in Africa Global Logistics, a portfolio of primarily Italian terminals held via wholly-owned Marinvest and a smattering of other directly-held stakes – generated total throughput of over 70 MTEU in 2023, the update added.

"Since not all terminals in the respective portfolios are wholly-owned, Drewry uses equity-adjusted throughput as a metric, which adjusts throughout for each terminal pro-rata to the ownership stake held."

The proposed deal will see MSC leapfrog other leading GTOs to secure the top spot in the global terminal operator rankings, securing the Swiss-headquartered container carrier a truly global network of container terminals.

"There are, however, a number of markets where the deal may result in excess concentration:

*Panama - where TiL already holds 42.5 percent stake in the 2.2 MTEU capacity PSA Panama International Terminal at Rodman, which is located opposite the Hutchison-operated four MTEU Balboa terminal (90 percent shareholding).

*Rotterdam – MSC operates the 1.9 MTEU Delta Dedicated North Terminal under a JV agreement with ECT in which Hutchison is majority (89.4 percent) shareholder. ECT additionally operates the ECT Delta Terminal (4.6 MTEU capacity) and holds a 60.8 percent stake in the Euromax Terminal (3.2 MTEU capacity) while Hutchison Ports holds 100 percent stake in Hutchison Ports Delta II facility (3.6 MTEU capacity). The EU regulators will however take into account MSC’s dominant position in the nearby Port of Antwerp plus its recently acquired 49.9 percent in leading Hamburg operator HHLA when considering whether this latest deal reduces competition across the Northwest Europe port range.

*Spain – TiL is the 100 percent shareholder in MSC Terminal Valencia, and holds the concession to develop the 4.8 MTEU capacity CT4. Meanwhile, Hutchison’s wholly-owned 3.3 MTEU capacity BEST facility is the largest in the Port of Barcelona."

Drewry is expecting the transaction may well trigger some divestments to meet the requirements of the various competition regulators.

"At a reported value of $22.8 billion, this is by far the largest deal in the global container terminal sector, dwarfing other major takeovers that have taken place in recent years."

The deal appears to be a major win for MSC, which secures additional capacity in several key markets, says Drewry, adding: "We do, however, expect the regulatory processes to extend for at least a year, and foresee competition authorities taking a particular interest in the Northwest Europe, Spain and Panama markets."