The CMA CGM Group, a world leader in shipping and logistics, has signed an agreement to acquire 90% stake in the Fenix Marine Services (FMS) terminal in Los Angeles, currently held by EQT Infrastructure III, based on an enterprise value of USD 2.3 billion. Currently holding a 10% stake in the terminal, CMA CGM will become sole owner of the FMS facility post transaction closing.
FMS is the third-largest terminal in the Los Angeles/Long Beach port area in terms of capacity (around 2.5 million TEU) and one of the largest in North America. The terminal also benefits from a long-term concession agreement (through 2043).
The FMS terminal has a strategic deep-water location and boasts first-class infrastructure: 4 berths, each more than 1,000 feet long and with a draft of 50 feet; 16 cranes, 8 of which are capable of serving very large ships; 8 rail tracks located within the terminal, ensuring first-class rail connectivity; a 292-acre container yard; and more than 700 reefer plugs with 24/7 reefer monitoring
As part of its plan, the Group will accelerate FMS’ development with significant investment in the coming years, including extension of the container yard, expansion of the terminal’s rail capacity in order to create one of the largest rail infrastructures in the United States, and construction of a new berth.
By early 2022, the FMS terminal will welcome the first CMA CGM liquefied natural gas-powered 15,000-TEU ships to be deployed on routes between Asia and the United States.
The closing of this transaction remains subject to the approval of the competent regulatory authorities.
The CMA CGM Group is one of the largest carriers of containers on Transpacific routes, operating 24 services. It also offers specialized services (value-added services, EXX express service, APL services deploying U.S.-flag ships as part of the U.S. government’s Maritime Security Program, etc.) in the Los Angeles/Long Beach region.
With this acquisition, funded from its own resources, CMA CGM is bolstering its position as a global port terminal operator. Currently, the Group has investments in 49 port terminals in 27 countries, through its two subsidiaries CMA Terminals and Terminal Link (joint venture). (Photo CMA CGM)
