BlackRock Strikes Deal to Acquire Two Major Ports in the Panama Canal Amid U.S. Pressure on China

BlackRock, the world’s largest asset manager, agreed on Tuesday (4) to acquire two major ports in the Panama Canal from their Hong Kong-based owner, following pressure from U.S. President Donald Trump over alleged Chinese influence in the strategic waterway.

According to a company statement, Hong Kong-based CK Hutchison, the current owner of the ports, will sell the assets to a consortium including BlackRock, Global Infrastructure Partners, and Terminal Investment.

In a large-scale investment in the port sector, the consortium will acquire a 90% stake in CK Hutchison’s subsidiary that operates the two Panamanian ports.

The deal also includes an 80% stake in CK Hutchison’s global port subsidiaries, which manage 43 ports across 23 countries, including the United Kingdom and Germany.

In what appeared to be a reference to these ports, President Trump has repeatedly claimed that “China is controlling the Panama Canal” and warned last month that “we will take it back, or something very powerful will happen.”

Source: Valor Econômico

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