COSCO Shipping and the Hellenic Republic Asset Development Fund (HRADF) have confirmed that COSCO will acquire 67 per cent of equities of the Piraeus Port Authority (PPA).
Piraeus’ geographic location, the Chinese Belt and Road initiative and close Sino-Hellenic relations are said to have influenced COSCO’s decision to pursue a share of the PPA.
The throughput of Port of Piraeus rose from 880,000TEU in 2010 to 3,360,000TEU in 2015, and the ranking of its throughput also rose from 93rd to 39th.
On April 8, 2016, COSCO signed the share purchase agreement and shareholders agreement with HRADF. On June 10, 2016, the Piraeus Port Authority held an extraordinary general meeting, in which the Board of Directors approved the SPA Agreement, and on June 22, 2016, the Hellenic Competition Committee gave its approval for the transaction.
The Greek parliament ratified the “landmark” concession agreement on June 30, 2016 by an overwhelming majority, which concluded the series of necessary approvals before COSCO completes the transaction.