GIC buys 10% stake in world's sixth-largest container terminal operator

GIC said that Geneva-based Terminal Investment Limited has attractive growth potential from its pipeline of both existing and new terminals.
GIC said that Geneva-based Terminal Investment Limited has attractive growth potential from its pipeline of both existing and new terminals.PHOTO: GIC

SINGAPORE - Singapore's GIC has acquired a 10 per cent interest in Geneva-based Terminal Investment Limited (TIL), the sixth-largest container terminal operator in the world, at an undisclosed price.

The sovereign wealth fund said on Friday morning (May 3) that it bought the stake from infrastructure fund manager Global Infrastructure Partners and "other existing co-investors".

TIL's majority shareholder is its largest customer, the Mediterranean Shipping Company (MSC), which is the world's second-largest container shipping line in terms of fleet tonnage.

Ang Eng Seng, chief investment officer of infrastructure at GIC, said that TIL has attractive growth potential from its pipeline of both existing and new terminals.

"We expect TIL to be well-placed to benefit from the increasing demand for containerised goods as the global middle class and manufacturing outsourcing continue to expand," Mr Ang said.

"As a long-term investor, we look forward to partnering with MSC, TIL's management and Global Investment Partners to support the future growth of the company," he added.

TIL develops, invests in and managers container terminals in 24 countries. It handles the container volumes of MSC and other third parties including Maersk, which is MSC's shipping partner in the 2M Alliance.