CMA CGM acquires stake in Brazilian terminal operator Santos Brasil

BRAZIL – The CMA CGM Group has announced a major acquisition, taking a 48% stake in Santos Brasil Participações S/A, one of Brazil’s largest multi-terminal operators.

This strategic move highlights the French shipping giant’s commitment to expanding its presence in Brazil’s growing maritime and logistics sector.

“Santos Brasil operates five key terminals across Brazil, including the largest container terminal at the Port of Santos, which manages about 40% of the country’s cargo volume,” said Rodolphe Saadé, CEO of CMA CGM.

“This investment further strengthens our partnership with Brazil and will support its economic growth in the years to come.”

Santos Brasil boasts a diverse portfolio of eight facilities located along Brazil’s coast. This includes three container terminals, a vehicle terminal, a liquid bulk terminal, and three logistics facilities.

Key locations include the ports of Santos, Imbituba, and Vila do Conde, as well as sites in São Paulo.

The company’s flagship operation, the Tecon Santos container terminal, is situated in São Paulo and has an annual handling capacity of 2.5 million TEUs, which can be expanded to 3 million TEUs in the future. The terminal has three berths, capable of handling vessels of up to 14,000 TEUs.

In the past 12 months ending June 30, 2024, Santos Brasil recorded revenue of $458 million and an EBITDA of USD 230 million, reflecting its strong financial position.

This acquisition is part of CMA CGM’s broader strategy to expand its terminal operations globally. The group already has investments in approximately 60 terminals worldwide, and this latest addition in Brazil solidifies its leadership in South America.

“This is another significant step in our global port development strategy,” Saadé said. “Our goal is to enhance the efficiency and capacity of our terminals to meet the growing demand in the regions we operate.”

The acquisition is expected to close in the first quarter of 2025, subject to approval by Brazilian regulatory authorities. Upon completion, CMA CGM will also launch a mandatory tender offer to acquire the remaining shares of Santos Brasil.

In other news, CMA CGM is gearing up for Fruit Attraction 2024, a major event for the fresh produce industry, running from October 8-10 in Madrid, Spain.

The company will showcase its advanced transport solutions designed specifically for perishable goods, ensuring safe and efficient delivery for temperature-sensitive cargo.

Attendees can visit the CMA CGM booth at Hall 10, Booth #10D27, to explore their latest innovations in refrigerated transport, container tracking, and atmosphere control technologies.

Sign up to receive our email newsletters with the latest news updates and insights from Africa and the World HERE.

Newer Post

Thumbnail for CMA CGM acquires stake in Brazilian terminal operator Santos Brasil

Tummers, Siemens partner to advance digital potato processing technologies

Older Post

Thumbnail for CMA CGM acquires stake in Brazilian terminal operator Santos Brasil

Flamingo Horticulture finalist in three categories at 2024 biz4Biz Awards

Be the first to leave a comment

Leave a Reply

Your email address will not be published. Required fields are marked *