CK Hutchison seeks Chinese investor for Panama ports deal
HONG KONG
Hong Kong conglomerate CK Hutchison said Monday it was considering inviting a Chinese "major strategic investor" to join a U.S.-led consortium negotiating the sale of its global ports business outside China, including operations at the Panama Canal.
The firm said in March it was offloading the firms, including operations in the vital Central American waterway, to a group led by asset manager BlackRock for $19 billion in cash.
The sale was seen as a political victory for U.S. President Donald Trump, who had vowed to "take back" the Panama Canal from alleged Chinese control, prompting Beijing's ire.
"[CK Hutchison] remains in discussions with members of the consortium with a view to inviting [a] major strategic investor from [China] to join as a significant member of the consortium," CK Hutchison said in a stock exchange filing Monday.
The firm added that changes to the consortium's membership and deal structure will be needed for the deal "to be capable of being approved by all relevant authorities."
It added that the "period for exclusive negotiations" mentioned in the March announcement had expired, but that discussions will continue.
It did not name the major investor.
The Panama Ports Company, a CK Hutchison subsidiary, has managed the port of Cristobal on the canal's Atlantic side and Balboa on the Pacific side since 1997, via a concession from the Panama government.
