CMPort said in a stock market announcement that the acquisition of the stake in the world’s top coal export port was in line with the group’s principal business activities and will help expand its global footprint to Oceania, leverage on land resources to capture development upside and generate positive long-term financial returns.
The company said it seeks to benefit from rising demand for thermal coal from major importers such as Japan, South Korea and Taiwan.
CMPort is also looking to benefit from Port of Newcastle’s land resources to extend its Port-Park-City model and develop industrial parks and infrastructure in line with port operations.
Separately CMPort also announced that it would be raising RMB500m ($79.9m) through so-called “One Belt, One Road” bonds on the mainland.
The 5.15% coupon three-year bonds are believed to be the first such instruments being used by CMPort. The bonds linked to China’s massive global infrastructure push are expected to take off as the initiative gathers pace.
Copyright © 2024. All rights reserved. Seatrade, a trading name of Informa Markets (UK) Limited. Add Seatrade Maritime News to your Google News feed.
