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Singapore’s PSA in talks to sell 20 per cent of Hutchison’s ports to China’s state giants, sources say
- PSA is seeking about US$4 billion for its 20 per cent share of CK Hutchison’s ports assets, the sources said
- PSA, owned by Singaporean state investment firm Temasek Holdings, is working with an adviser as it fields preliminary interest in the stake, they said
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Chinese state-owned conglomerates China Merchants Group and China Cosco Shipping are among the firms expressing interest in PSA International’s minority stake in the ports business of Hong Kong’s CK Hutchison Holdings, according to people familiar with the matter.
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PSA is seeking about US$4 billion for its 20 per cent share of CK Hutchison’s ports assets, the people said, asking not to be identified because the matter is private. PSA, owned by Singaporean state investment firm Temasek Holdings, is working with an adviser as it fields preliminary interest in the stake, the people said.
The sale process has just kicked off and PSA is holding early talks with potential bidders including China Merchants, Cosco and other firms in the sector, the people said.
Discussions are preliminary and the firms could decide against making offers, they said. A representative for PSA declined to comment, while spokespeople for China Merchants, Cosco and CK Hutchison did not immediately respond to requests for comment.
Billionaire Li Ka-shing’s conglomerate CK Hutchison counts businesses spanning ports, retail, infrastructure and telecommunications. It’s one of the world’s biggest container terminal operators and port services providers, with holdings in about 51 ports in 25 countries, its website shows.
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