The BlackRock-TiL consortium, which includes financial giant BlackRock and Terminal Investment (TiL), has announced a $22.8 billion agreement to purchase CK Hutchison Holdings’ 90% stake in the Panama Ports Company. The deal also encompasses 43 additional ports with a total of 199 berths across 23 countries.
Notably, the agreement does not cover HPH’s interests in significant Chinese ports, including those in Hong Kong and Shenzhen.
In a recent speech to Congress, U.S. President Donald Trump referenced this deal while reiterating his long-standing assertion that “China” owns and operates the Panama Canal—a claim that has been widely debunked. He stated, “My administration will be reclaiming the Panama Canal, and we’ve already started doing it,” as reported by Reuters.
In response, Panamanian President Jose Raul Mulino criticized Trump, stating, “[Donald Trump is] once again lying.” He emphasized, “The Panama Canal is not in the process of being reclaimed … the Canal is Panamanian and will continue to be Panamanian,” noting that the Panama Canal is owned and operated by the Panama Canal Authority, an autonomous entity established by the country’s constitution.
The consortium will conduct standard due diligence as it works toward finalizing definitive agreements. Meanwhile, CK Hutchison and Hutchison Port Holdings have entered into exclusive negotiations and confidentiality arrangements with the consortium, allowing them full access to necessary information and documentation.
The parties have reached an agreement on essential terms, with definitive documentation anticipated by April 2, 2025.
Larry Fink, Chairman and CEO of BlackRock, remarked, “This agreement is a powerful illustration of BlackRock and GIP’s combined platform and our ability to deliver differentiated investments for clients. These world-class ports facilitate global growth.” He added that BlackRock’s strong connections with organizations like Hutchison and MSC/TIL enhance their appeal to partners seeking long-term capital.
The transaction is expected to reshape the global port operations landscape, contingent upon the completion of necessary regulatory procedures. TiL Chairman and MSC Group President Diego Aponte expressed enthusiasm about the partnership, stating, “Our relationship with Hutchison Ports goes back a long way and is a relationship of mutual respect and friendship. We are very pleased to partner with BlackRock and Global Infrastructure Partners (GIP), with whom we share a longstanding and terrific relationship.”
The acquisition of the Panama Ports Company is subject to approval from the Government of Panama, while the agreement with Hutchison Port Holdings awaits due diligence and regulatory clearances.
