Ningbo-Zhoushan Port plans to raise $1.6 billion in order to upgrade its facility. Specifically, the port will expand six container terminals which are estimated to increase its annual handling capacity to more than 32 million TEU from 5.6 million TEU during 2020.
In fact, the Chinese container port plans to raise the funds by giving 2.635 billion non-public shares to its company Ningbo-Zhoushan Port Group (NZPG), and to Shanghai International Port Group.
Among other upgrades, Ningbo-Zhoushan Port is expected to use $1.27 billion to develop container terminal 1 in the Chuanshan port area and container terminals 6 to 10 at is Meishan sub-port.
As for the remains of the funds, the port will use them to repay bank loans and better improve its financial profile.
Through the port’s expansion, Ningbo-Zhoushan goals to strengthen its container handling operations and advance competitiveness in the international container market.
For the records, back in 2018 Ningbo-Zhoushan achieved a record of 26 million TEU and became the third busiest container port in global, following Shanghai and Singapore ports.
