Severstaltrans Group (Russia) and Container Finance Group (Finland) have signed a contract according to which Severstaltrans buys 50% of Multi-Link Terminals Ltd Oy (MLT) and Container Depot Ltd Oy (service company CD), the Group’s press center reports.
Multi-Link Terminals is a container terminal operator handling containers at the following terminals: Moby Dick (Kronshtadt), Mussalo (Kotka), Western Harbour (Helsinki). According to the forecast, in 2007 total throughput of the company will exceed 360,000 TEU, 60% of which will fall on St. Petersburg and 40% - on Finland. In the 9-month period of 2007, the share of Moby Dick in total throughput of St. Petersburg made 13%. Finland-based terminals of MLT handled some 10% of the country’s total container throughput with some 90% of MLT container flow falling on domestic consumption.
Container Depot provides services on storing and maintenance of containers in Helsinki, Kotka, Hamina and St. Petersburg. Currently the company makes considerable investments into St. Petersburg infrastructure, a logistics center Yanino, 1.5 km from St. Petersburg ring road (Vsevolozhsk district). The complex will comprise container and railway terminals, refrigerated warehouse, A-class warehouses and a rear terminal for cargo handling. A 50-hectare logistics complex will have railway links with port terminals. The first phase is to be completed in December 2007. The parties have agreed not to comment on the commercial terms of the deal.
According to Kimmo Nordstrom, SOD Chairman of Container Finance Ltd Oy, flexible and reliable port and terminal operations at both ends of the logistics chain are absolutely critical for frequent cargo operations depending on time. The capacity of Finnish ports may compensate for insufficient terminal capacities of St. Petersburg, which will make it possible to make more calls in this region. We want to provide our customers with faster and profitable handling of growing turnover, including that between Finland and Russia. The cooperation with Severstaltrans will enable us to make the best use of the Group's ports, railway operations and ensure value added logistics services. Our cooperation will further enhance our position in the permanently growing container shipping business in Russia and Finland.
According to Nikita Mishin, Commercial Director of Severstaltrans Group, the deal is aimed at expansion of the range of services and meets the long term container business strategy of the Group. Yanino logistics centre will serve a logical continuation for the technological container handling chain when cargoes will be brought from Petrolesport to inland terminal by rail, moving the cargo handling process outside St. Petersburg. Moby Dick located outside St. Petersburg will ensure extra capacity. Thus it will increase the container throughput without additional traffic load on St. Petersburg network of roads.
Container Finance specializes in marine transportation and transshipment of containers. Jointly with Eimskip Group (Iceland) it presents a large shareholder Containerships specializing in door-to-door delivery of container within the Baltic Sea area. In 2006, turnover of Container Finance Group totaled EUR 200 million.