CMA CGM has agreed to acquire the GCT Bayonne and New York terminals in the US from Global Container Terminals Inc (GCT).
The French liner giant said the two terminals are a “key entry point” serving the north-eastern US supply chain areas and represents CMA CGM’s largest gateway on the east and Gulf coasts of the US. Financial terms were not disclosed.
GCT’s owners Ontario Teachers’ Pension Plan, IFM Investors and British Columbia Investment Management Corp had been exploring a sale of the two container terminals, which could fetch around $3bn, Bloomberg reported in October 2022.
“While Bayonne terminal has the highest level of automation, the fastest truck turn time in the harbour, the closest ocean access, and an ability to service vessels of up to 18,000 teu, the New York Terminal benefits from a highly productive labour force in the Port of New York and New Jersey and connects the dense New York hinterland with direct trucking and intermodal access,” CMA CGM said.
After closing, the CMA CGM Group will operate the two strategic facilities as multi-user terminals under the leadership of the current management team.
Investment in the infrastructure will be undertaken to meet both CMA CGM and local communities’ environment protection targets, the company added.
CMA CGM said it intends to further develop its shipping line calls in the New York area for which the terminals will provide future capacity.
The Bayonne and New York terminals, with an existing combined capacity of 2m teu per year, have a potential for further expansion, up to almost double capacity, the company said.
“The group will significantly accelerate investments in the development of the Bayonne and New York terminals, with an objective to increase the combined capacity by up to 80 % in the coming years,” CMA CGM said.
“This major acquisition will make it possible for CMA CGM group to support US East Coast supply chain growth and improve efficiency to and from the world.”
Rodolphe Saade, chief executive of the CMA CGM Group, added: “The acquisition of GCT Bayonne and GCT New York terminals…further consolidates our positions in the United States, a major market among the fastest-growing worldwide, and will help us continue our development.”
With this acquisition, CMA CGM now has investments in 52 port terminals in 28 countries, through CMA Terminals and its Terminal Link joint venture.
CMA CGM’s footprint in the US now comprises a portfolio of five terminal assets consisting of Fenix Marine Services and PMS in the Los Angeles area, Dutch Harbor in Alaska and 26% stakes in Bayport in Houston and South Florida Container Terminal in Miami.
CMA CGM began its operations in the US in the late 1980s and opened its US headquarters in Norfolk in 2005. The group currently employs more than 15,000 people in the US.
The shipowner also operates a fleet of nine US-flagged vessels operated under the APL, formerly American President Lines, brand.
