HMM Preferred Bidder for Hanjin's Spain Terminal

Total Terminal international
Total Terminal International Algeciras

By MarEx 2016-11-25 11:46:08

South Korea's Hyundai Merchant Marine (HMM) said on Friday it was chosen as preferred bidder to buy a port terminal in Algeciras, Spain, partly owned by Hanjin Shipping.

HMM said in a statement it is expected to finalize its purchase of a 100 percent stake in Total Terminal International Algeciras in late December from the current owners, including IBK Securities, without elaborating on price or other sales terms.

Earlier this month, HMM announced a net profit of 297 billion won ($253 million) for the July-September period attributed to an improvement in the company’s financial structure. The company has also successfully concluded its restructuring plan and debt reduction. Consequently, its debt ratio has significantly improved to 186 percent.

In August, Algeciras Bay Port Authority issued a tender for the construction and operation of its third container terminal. Interested parties have until November 30 to present bids. The concession will be for 50 years, and the new terminal will occupy an area of 30.5 hectares on the southern-most tip of Isla Verde Exterior. Total Terminal International Algeciras occupies part of the Isla Verde development at Algeciras.