Specifically, Cosco decided to sell the Long Beach Terminal to obtain US regulators' approval for its acquisition for Orient Overseas International Ltd, a deal that was completed in 2019. Yet, in these transactions, the committee on Foreign Investment in the US must approve the buyer.
Bloomberg comments that a Yilport representative declined to comment on the matter.
The Port of Long Beach is a gateway for trans-Pacific trade and the second-busiest container seaport in the U.S. The port handles up to 7.5 million containers annually or cargo valued at almost $200 billion.
Any deal would add to the $20.7 billion of overseas assets divested by Chinese companies over the past year.
The facility also attracted bids from infrastructure investors including Australia’s Macquarie Group Ltd., people familiar with the matter said in December.
Bloomberg has also revealed that Yilport is launching a series of strategic investments worth $2.2 billion over the next three years, funds that will be spent on expanding port projects and pursuing new concessions around the world.
Yilport’s parent entity, Yildirim Group, owns a 24% stake in container-shipping company CMA CGM Group.