The ongoing talks of a potential takeover of Global Ports Holdings (GPH), a ports operator primarily of cruise ports, by logistics giant Mediterranean Shipping Company (MSC) have been terminated. SAS Shipping Services, a wholly owned subsidiary of MSC, approached GPH on June 15 with a potential cash offer to purchase all of the company’s shares. The announcement regarding the termination of these talks on July 12 by GPH.
GPH has 26 cruise ports in 14 countries, with ports in the Caribbean, Mediterranean, Asia, Atlantic, and Northern Europe. The company has reported that it had been considering options for refinancing after the slowdown in cruise operations during the pandemic. SAS shipping company approached GPH with an offer to acquire the company. According to the rules directing the process, MSC had a deadline till July 13 to make their intentions regarding the takeover known or make an offer. The takeover panel did not agree to extend the deadline.
The share price of GPH dropped by 17% on the announcement date. GPH’s board of directors, however, remains confident in the direction of the company. The announcement stated that the board of directors is sure that the direction of the company as an independent port operator with open access cruise port concessions and arm’s length contracts for berthing rights. The announcement also stated that GPH continues to be focused on strategic goals and long-term value creation.
The opinions expressed herein are the author’s and not necessarily those of News2Sea.