APM Terminals and Colombian-based port and terminal operating company, Compañia de Puertos Asociados S.A. (Compas S.A.) have signed a joint venture agreement to jointly manage and operate Compas S.A.’s existing multipurpose Cartagena Terminal.
The two companies will jointly invest over $200 million in upgrading and expanding the Cartagena Terminal, including state-of-the-art terminal equipment. The upgrade will triple annual throughput capacity for the terminal to handle the larger vessels transiting the widened Panama Canal.
While Compas S.A. will continue to be the concession holder, APM Terminals will hold a 51% majority share in the joint venture that will run the facility. The transaction will be subject to compliance with the necessary formalities with the relevant authorities.
“Colombia represents one of the most promising investment opportunities in the region and we are pleased to participate in the country’s ongoing economic growth and development. Cartagena has enormous significance in South America ports and this JV underlines APM Terminals growth and investment plans,” said APM Terminals CEO Kim Fejfer.
“APM Terminals has an impressive heritage in the port business and they continue to transform operations. We are excited to partner up with them and expand our business here in Colombia,” commented Alberto Jimenez Rojas, President of Compas S.A.
APM Terminals has two new deep-water terminals under construction in Latin America at Moin, Costa Rica, and Lazaro Cardenas, Mexico.