In one of the largest real estate deals in Central America real estate, BlackRock Inc. (NYSE: BLK) is spending $22.8 billion to purchase majority stakes in ports on both sides of the Panama Canal.
The Wall Street Journal reports BlackRock, its new infrastructure arm Global Infrastructure Partners, and Geneva-based Terminal Investment will acquire a 90% interest in Panama Ports, the company that owns and operates the ports of Balboa and Cristobal in Panama. The Hong Kong-based CK Hutchison is selling the ports and the consortium is also buying CK Hutchison’s controlling interest in 43 other ports in 23 countries.
The transaction follows complaints by President Trump regarding the Chinese presence at the Panama Canal. In his inaugural address, Trump stated, “China is operating the Panama Canal, and we didn’t give it to China” – the canal itself is controlled by Panama, but the foreign-owned ports on either side of the waterway agitated the president, who floated the idea of using force to retake the canal, which the US ceded to Panama in a 1977 treaty.
Hutchison’s Co-Managing Director Frank Sixt stressed the transaction was not connected to Trump’s rhetoric, stating, “I would like to stress that the transaction is purely commercial in nature and wholly unrelated to recent political news reports concerning the Panama Ports.”
The deal is the largest infrastructure acquisition for both BlackRock and GIP.
Really? How convenient.
Blackrock, one of the most evil left wing corporations in the history of evil…great…Blackrock is pure evil…
The one question you need to be asking is why CK Hutchison sold. They were being attacked by president of US and their new lease agreement with Panama was being investigated. Rumors have been that a US company close to the Trump whitehouse was inline to take over the port facilities that Hong Kong CK Hutchison held.