APM Terminals is entering the Russian market in a strategic partnership with the leading Russian transportation group, N-Trans.
By acquiring 37.5 pct. of the public company Global Ports, APM Terminals becomes an equal controlling partner in the leading operator of container terminals in Russia. Up until now, N-Trans has been the sole controlling shareholder of Global Ports with 75 pct. ownership.
The transaction values Global Ports approximately at USD 2.3-billion, making APM Terminals’ share acquisition the largest foreign direct investment in Russia’s transportation industry to date.
With this new partnership APM Terminals adds three container terminals in Russia, two container terminals in Finland, one inland container depot in the vicinity of St. Petersburg and a major oil and oil products terminal to its global network.
With this new partnership, APM Terminals will also be able to play a major role in expanding terminal capacity for future demand in Russia and neighboring countries when the right opportunities present themselves. APM Terminals’ CEO Kim Fejfer believes that this strategic investment will offer value to APM Terminals’ shipping customers today and create further opportunities to accommodate their growth in the future.
“Russia will need world-class port infrastructure and operational excellence to serve global shipping lines and its own ambition of economic development" commented APM Terminals’ CEO Kim Fejfer
The Russian market showed impressive growth rates in the past with an average growth over 15 pct. a year in the past five years. The rapidly developing middle class, Russia’s integration with the global economy as evidenced by the recent WTO membership and the country’s wealth of natural resources will continue to fuel the growth in exports and imports in the long run. “