Hong Kong’s CK Hutchison, postponed the signing of the sales agreement of its port operations near the Panama channel for a group led by Blackrock. The decision occurs amid the growing pressure of Beijing, which announced an antitrust review of the business.
According to sources close to the process, the review will be conducted by the China Market Regulating Authority, which is based on legislation aimed at protecting fair competition and public interest.
The regulatory agency reported on the beginning of the review through a statement published in the official authority account at Wechat on Friday night, 24.
The conglomerate CK Hutchison, controlled by billionaire Li Ka-Shing, had agreed to sell most of his global port business, valued at $ 22.8 billion, to a consortium led by Blackrock. Among the assets included in the transaction are ports located in the strategic region of the Panama Canal.
Postponement and possible implications of the process
The signing of the definitive contract for the two port operations was initially scheduled for April 2, as announced on March 4.
However, sources reported that the documentation will not be signed on the scheduled date, for “obvious motives.” Despite the postponement, the sources pointed out that the deal has not yet been canceled, and the period of April 2 is not definitive.
The negotiation involves a total of 43 ports in 23 countries, being treated exclusively between CK Hutchison and the Blackrock Consortium for a period of 145 days. The sources stated that negotiations remain underway.
Political and economic pressures on negotiation
The postponement of signature occurs in a delicate political context, with Beijing intensifying supervision about the agreement.
The involvement of one of the world’s largest financial investors, Blackrock, and the strategic nature of the ports involved, put the business in a highly politicized position, especially due to the economic and geopolitical impact it can generate.
The transaction, which can yield more than $ 19 billion to CK Hutchison, has also attracted attention due to its importance in terms of global infrastructure. The Panama Canal is a crucial transportation route for international trade, which makes the sale of ports in this region a matter of strategic interest.
Financial market and reactions
The subject was initially disclosed by local vehicles as Singtao Daily e South China Morning Post. CK Hutchison did not immediately respond to the request for comment made by Reuters.
Amid speculation about the future of the business, the main rates of Wall Street suffered a strong drop on Friday, with Dow Jones retreating 1.7%, reflecting a climate of caution in the global financial market.
This episode highlights the complexity of negotiations involving Chinese and foreign companies, especially when involving strategic assets in key regions for global trade.
The outcome of negotiations will depend on how China’s antitrust review will be conducted and the possible adjustments that CK Hutchison and Blackrock will need to complete the agreement.
With information from Reuters
Source: https://www.ocafezinho.com/2025/03/29/ck-hutchison-adia-acordo-de-venda-de-portos-no-panama-aos-eua-apos-revisao-antitruste-da-china/
