APM Terminals exits Russian port business
Global Ports Investments PLC (Global Ports), a company listed on the London Stock Exchange, today announced that the company and its board of directors have been advised by APM Terminals BV, holding 30.75% of the company’s shares, of its intention to initiate a process of selling its stake.
“APM Terminals has further announced to the company and the board of directors that they will continue to be represented on the board of directors and to fulfill their obligations to the company until this divestment is completed”, indicates the Global Ports press release.
Confirming the development to this correspondent in an email, an official spokesperson for APM Terminals, said: “AP Moller-Maersk, through APM Terminals, holds a minority stake (30.75%) in Global Ports Investments (GPI). GPI is an EU company. which operates 6 terminals in Russia and 2 in Finland. GPI is listed on the London Stock Exchange. We informed our joint venture partners and GPI today that we wish to take steps to divest our shares following the invasion of Ukraine and operational challenges. “
The surprise here is that the two main promoters of Global Ports – Delo Group and APM Terminals – have an equal stake of 30.75%.
The Delo Group is the largest transport and logistics holding company in Russia, operating maritime container terminals in the Azov-Black Sea, Baltic and Far East basins, a network of rail container terminals , a fleet of containers and assembly platforms. The group’s parent company is LLC MC Delo, which is 70% owned by founder Sergey Shishkarev and 30% by State Atomic Energy Corporation Rosatom.
Shishkarev’s fortune, according to Forbes, was $800 million.
Global Ports owns and operates seven marine container and multi-purpose terminals at two major shipping container gateways. The main activity of the group is container handling. In addition, the group handles a number of other types of freight including bulk, car and other types of ro-ro freight.
The group handled 1.6 million TEUs in 2021, an increase of almost 3%. Revenue increased 31% to $503 million, an increase of 17%, and adjusted EBITDA of $246 million also increased 17%. Free cash flow increased 47% to $129 million.
“The past two years have seen an extremely volatile operating environment and disruptions in global supply chains and it has been vital for our customers to manage trade imbalances,” said Albert Likholet, CEO of Global Ports, during the meeting. announcement of the results. “As a result, we have learned that offering the right infrastructure capacity combined with a high level of service ensures a clear focus on our customers’ needs at the right time and in the right place, and this has been well received in Building on this solid foundation, we not only successfully strengthened our market leadership positions in both regions of presence, but also recorded solid growth in Adjusted EBITDA and Free Cash Flow.
“Thanks to this strong performance, 2021 marks an important milestone in the history of the Group, as we have succeeded in achieving our long-term deleveraging objectives. This achievement opens up potential opportunities to review our capital allocation approach to the future if we see a predictable environment with greater visibility.”
Maersk, like all other major container carriers – MSC, CMA-CGM and Hapag – stopped calling at Russian and Ukrainian ports after the conflict broke out.
The Global Ports GDR, listed on the London Stock Exchange, is down more than 80% since the start of the year.