Trafigura Group Pte Ltd (“Trafigura”), one of the world’s leading independent commodity trading companies has entered into an agreement for IFM Global Infrastructure Fund to invest in certain of Trafigura’s wholly-owned assets operating as Impala Terminals for an undisclosed sum and for a long term partnership with global fund manager IFM Investors, the company said in its press release.
The 50:50 joint venture will own and operate a network of concentrates terminal infrastructure in Mexico, Spain and Peru, which play a key role in the movement of copper, lead and zinc in the global market. The joint venture will also include fluvial operations in Paraguay and a Swiss based operation which provide global freight forwarding and multimodal transportation services in the African copperbelt for Trafigura and third party clients.
The joint venture will also explore strategically growing the platform over time, including expanding the network with assets owned by Trafigura that are currently not included in the transaction perimeter.
“IFM Investors are an excellent global fund management company to partner with,” said Jeremy Weir, Executive Chairman and CEO of Trafigura. “They have a great depth of experience in investing in infrastructure projects and a successful track record of investing alongside other companies in our sector. Impala Terminals has a strong competitive position with the potential to expand in existing and new markets and through handling increased volumes from Trafigura and third parties. This was a good point to bring in a strong partner, while allowing Trafigura to re-invest the funds raised into new projects that will support our trade flows,” said Jeremy.
This agreement is subject to relevant regulatory approvals.
Citigroup served as financial advisor to Trafigura in relation to the transaction.
About Impala Terminals
Impala Terminals is a multimodal logistics provider focused on export-driven economies. It owns and operates a network of ports, port terminals and warehouses which, combined with its transport assets, provide end-to-end logistics solutions for dry and liquid bulk cargoes, general cargo and containers. Impala Terminals employs 1,428 members of staff and owns and operates 23 facilities across 16 countries around the world.
About Trafigura
Founded in 1993, Trafigura is one of the largest physical commodities trading groups in the world. Trafigura sources, stores, transports and delivers a range of raw materials (including oil and refined products and metals and minerals) to clients around the world. The trading business is supported by industrial and financial assets, including 49.6 percent owned global oil products storage and distribution company Puma Energy; global terminals, warehousing and logistics operator Impala Terminals; Trafigura's Mining Group; 50 percent owned DT Group which specializes in logistics and trading; and Galena Asset Management. The Company is owned by around 600 of its 4,000 employees who work in 62 offices in 35 countries around the world. Trafigura has achieved substantial growth over recent years, growing revenue from USD12 billion in 2003 to USD136 billion in 2017. The Group has been connecting its customers to the global economy for more than two decades, growing prosperity by advancing trade.
About IFM Investors
IFM Investors is a global institutional funds manager with US$80 billion under its management as of September 30, 2018. Established more than 20 years ago and owned by 27 Australian pension funds, IFM Investors’ interests are deeply aligned with those of its investors. Investment teams in Australia, Europe, North America and Asia manage institutional strategies across debt investments, infrastructure, listed equities and private equity. IFM Investors has offices in eight cities: Melbourne, Sydney, London, New York, Berlin, Tokyo, Hong Kong and Seoul.
About IFM Global Infrastructure Fund
IFM Global Infrastructure Fund (“IFM GIF”) is an open-ended unit trust for institutional investors. With more than 20 years of experience, IFM GIF's open-ended structure allows for long-term investments in line with the long-term investment horizons of its institutional investors. The principal advisor of IFM GIF is IFM Investors.