CMA Terminals and ICTSI ink agreement for a 25% stake of a container terminal in Nigeria
CMA Terminals, a 100% owned subsidiary of the CMA CGM Group, and ICTSI have signed a deal for ICTSI to sell 25% of the container terminal in Nigeria, Lekki International Container Terminal Services LFTZ Enterprise (LICTSLE) to CMA Terminals, the Group said Tuesday in a press release.
This adds one further major milestone that has been achieved since the signing of the sub- concession for the terminal in 2012.
LICTSLE will be providing a solution to current congestion for the local market in Nigeria and overall serve as regional transshipment hub in West Africa allowing the countries connected with the hub to grow sustainably.
With a straight-line quay of 1200m and a yard area of 66 hectares, this modern facility, which is expected to be fully operational in 2017, provides the market with an annual capacity of 2.5 million TEU. This capacity will serve the Nigerian market in the long run and will ease capacity pressure. The terminal is designed to allow for further capacity growth exceeding the initial 2.5 million TEU.
The advantageous location, 60 km east of metropolitan Lagos, will be combined with a state-of-the-art facilities including 14 Post - Panamax cranes.
Mr. Farid Salem, CMA CGM Group Executive Officer, declares: “We are very pleased of this cooperation with ICTSI. This major future investment is undoubtedly a great opportunity for the CMA CGM Group, through its dedicated subsidiary CMA Terminals, to further increase its presence in Nigeria, a country in continuous development”.
Mr. Floe, ICTSI Senior Vice President responsible for the Africa Region, mentions: “The involvement of the CMA CGM Group shows the interest in West Africa and the confidence there is in the Nigerian market with the product we provide as we will strive to become supplier of choice in West Africa as the principal transshipment hub giving our customers a sustainable competitive advantage in the market range.”
About CMA CGM
CMA CGM, founded and led by Jacques R. Saadé is the world’s third largest container shipping company and has an estimated turnover of 16 billion USD in 2013. Operating a fleet of 428 vessels, the Group serves more than 400 ports around the world. In 2013, the Group carried 11.4 million TEUs (twenty-foot equivalent units). With a presence on every continent and in 150 countries through its network of 650 agencies and branch offices, the Group employs more than 18,000 people worldwide and 2,400 in its headquarter in Marseilles.
About CMA Terminals
CMA Terminals, incorporated in 2012, is a fully owned subsidiary of CMA CGM dedicated to investment in container terminals and dry ports. The company has interests in 11 terminals for a yearly throughput of 1.1 million TEU (twenty-foot equivalent units). CMA Terminals core business consists in investing, developing, designing, building and operating high value and common user container terminals worldwide, with the objective of maximizing the synergies with CMA CGM. The team is composed of experts in finance, business control, terminal operation and design.
About International Container Terminal Services Inc.
International Container Terminal Services, Inc. (ICTSI) is in the business of acquiring, developing, managing and operating container ports and terminals worldwide with a portfolio of nearly 30 marine terminals all over the world. Currently ICTSI operates on around terminals with a throughput of 5.2 million TEU annually. The enterprise is currently pursuing an active program to acquire new terminal concessions in Asia, Australia, the Indian Subcontinent, the Middle East, Africa, Europe and the Americas.