CK Hutchison Holdings, a Hong Kong-based conglomerate, has agreed to sell its entire stake in Panama’s Balboa and Cristobal ports to a BlackRock-led consortium for nearly $23 billion, including $5 billion in debt. The deal, pending Panama’s approval, follows US concerns over alleged Chinese influence on the canal, though Panama maintains that China does not control its operations
A Hong Kong-based conglomerate has finalised a deal to sell its controlling stake in key Panama port operations, a move that effectively places the ports under American control.
The sale comes amid concerns from the US government, particularly from US President Donald Trump and US Secretary of State Marco Rubio, regarding alleged Chinese influence over the strategic shipping route.
All about the deal
CK Hutchison Holdings, a major Hong Kong-based conglomerate, announced that it would sell all shares in its subsidiaries, Hutchison Port Holdings and Hutchison Port Group Holdings, to a consortium led by BlackRock Inc.
The deal, valued at nearly $23 billion, includes $5 billion in debt and must receive approval from the Panamanian government before being finalised. The acquisition grants the BlackRock-led consortium control over 43 ports across 23 countries, including the crucial Panama Canal entry points at Balboa and Cristobal.
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