ICTSI goes full throttle in global expansion
Port operator International Container Terminal Services Inc. (ICTSI) has started the expansion of its domestic and overseas operations following its recent success in raising fresh funds by tapping debt markets abroad.
The company on Friday announced that its flagship local facility, the Manila International Container Terminal (MICT), and its new project in Manzanillo, Mexico, were both set to receive brand new state-of-the-art equipment to expand their capacity.
“The new orders signify our commitment to further improve terminal operations and services across the ICTSI Group,” ICTSI global engineering vice president Brian Oakley said. “We are doing this multimillion dollar investment because we see the growth potential of our Manila and Manzanillo operations,” he said.
ICTSI said it had placed an order with Finnish equipment maker Cargotec for the delivery of four quay cranes (QC) and 10 rubber tired gantries (RTG). Most of the new equipment will go to the MICT in Manila’s port area this year, ICTSI said.
“The purchase of the new container yard equipment is part of the Berth 6 project, an ongoing terminal expansion at the Port of Manila, the country’s largest trading gateway,” the company said.
The new equipment is expected to increase MICT’s annual cargo capacity to over 2.5 million 20-foot equivalent units or TEUs, from just 1.9 TEUs today.
ICTSI said about 65 percent of all cargo traffic going through Manila passes through the MICT, which is just one of several privately-run facilities in the port area.
In Mexico, ICTSI has started the construction of the Specialized Container Terminal-2 in the Port of Manzanillo in the country’s Pacific coast.
Contecon Manzanillo S.A., ICTSI’s Mexican subsidiary, is expected to receive four super post-Panamax Kalmar QCs and 10 Kalmar RTGs by early next year.
The terminal is projected to have an annual capacity of 450,000 TEUs in its first two year operation. ICTSI won the P36-billion contract to develop the Mexican facility in 2009.
Earlier this month, ICTSI successfully raised $150 million in fresh funds from the sale of “perpetual bonds.”
These securities will be consolidated into a single series with the $200 million-worth of bonds sold by ICTSI in 2011.
The cash raised would be used for new acquisitions, “greenfield” or new projects and general corporate purposes, the company said in a disclosure.
