German port and terminal operator Hamburger Hafen und Logistik AG (HHLA) is still in the ongoing process of obtaining the necessary investment law approval, while it is not aware of any rejection by six federal ministries, regarding the potential acquisition of shares in HHLA container terminal by COSCO.
In particular, COSCO Shipping Port Limited (CSPL) is expected to acquire a maximum of 35% of the shares of the HHLA subsidiary Container Terminal Tollerort GmbH (CTT), if the investment gets the necessary approvals, with HHLA pointing out that the Chinese shipping giant will not acquire any shares of the Port of Hamburg.
An HHLA spokesperson said that “it is incorrect to say that the European Union has objected to the cooperation. The cartel law approval was granted by the responsible authorities.”
In the proceedings, which have now been ongoing for over a year, HHLA received no objective reasons that would indicate that the investment should not be approved, according to the spokesman.
As part of the necessary investment screening procedure, the Federal Government is investigating whether the shareholding might pose a risk to the security of Germany, but HHLA noted that CSPL is not gaining access to the Port of Hamburg or HHLA, as the transaction concerns a minority stake in HHLA’s operating subsidiary CTT GmbH.
Additionally, the German operator said CTT GmbH is ultimately an operating subsidiary with HHLA retaining sole control over all significant decisions and COSCO having no exclusive rights at the terminal.
Furthermore, CSPL does not gain access to strategic know-how, according to HHLA, as the port infrastructure remains the property of the Free and Hanseatic City of Hamburg, while IT and sales data remain the sole responsibility of HHLA.
The spokesman stated, “the cooperation between HHLA and COSCO does not create any one-sided dependencies. On the contrary, it strengthens supply chains, secures jobs and promotes value creation in Germany.”
He added that the potential cooperation “also strengthens the position of the Free and Hanseatic City of Hamburg as a logistics hub in the North Sea and Baltic Sea region and of the Federal Republic of Germany as an export nation.”
