China Merchants Port Holdings Company Limited has announced it has entered into the share purchase agreement with TCP Participações S.A. to acquire 90% stake of the Port of Paranaguá in Brazil, from TCP  for BRL 2.89 billion (US$920 million).

TCP and its subsidiaries are principally engaged in operating the container terminal concession in the Port of Paranaguá. Located in a sheltered bay that allows excellent navigating conditions with 24 hours access, and is the second largest container terminal in Brazil with currently a design capacity of 1.5 million TEUs each year which will be further increased to 2.4 million TEUs each year upon completion of the planned expansion which is currently expecting to commence work later this year and expected to complete by the second half of 2019.

Also, TCP Log (a wholly-owned subsidiary of TCP) offers door-to-port integrated logistics, with the focus on offering tailor made logistic solutions for importers and exporters.

Dr. Hu Jianhua reiterated the CM Ports's spotlight on Brazil:

 “Brazil is the largest economy in Latin America with huge market potential and abundant resources and reserves. Brazil is also a member of the BRICS group of nations and is China's most important comprehensive strategic partner and trade counterpart in Latin America. The transaction serves CMG's intention to promote commercial cooperation with the BRICS countries and the ‘China Brazil Joint Action Plan’.” The transaction will help us achieve our commercial objectives, and at the same time, enhance the trade development between Brazil and China and the comprehensive strategic cooperation relationship of the two countries.”