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Allen & Overy advises on sale of one of largest port terminals in U.S.

Allen & Overy advised EQT Infrastructure III Fund (EQT Infrastructure) on the sale of Fenix Marine Services, operator of one of the busiest port complexes in North America, to CMA CGM, for an enterprise value of USD2.3 billion.

Located in Los Angeles, CA, Fenix Marine Services is one of the largest terminals in the port, handling approximately 2.3 million TEUs (unit of cargo capacity) annually. The buyer, CMA CGM, is the third-largest global shipping line and a member of the leading Transpacific shipping alliance. Upon closing of the transaction, CMA CGM, who previously owned a 10% stake in the port terminal, will become sole owner.

A&O’s global Projects, Energy, Natural Resources and Infrastructure practice advised EQT Infrastructure on the transaction. EQT Infrastructure purchased Fenix Marine Services in 2017 has worked alongside management to improve operational performance, driving a significant increase in gross moves per hour, the leading indicator of marine productivity. To date, environmental improvements of Fenix Marine Services eliminated over 10 million pounds of greenhouse gases.

A&O partner Kent Rowey, said, “We’re thrilled to have been able to support EQT on this transaction from acquisition to exit. The Ports and logistics sector is an exciting and challenging space, especially at the current time. It takes an exceptional level of teamwork to execute transactions, and we’re honoured to be a part of that team.”

The A&O deal team was co-led by New York-based partners Kent Rowey and Simon Clark, and supported by associates Ian Mack, Nathanael Kraintz and Michael Paparozzi. Other team members included Brian Jebb, Alexandra Sentner, Ken Rivlin, Maria Christopher Bell, Nick Ognibene, Pierce Young, Jacob Ely, Brad Pensyl, Rebecca Cecchini, Dave Lewis, John Hibbard, Natalie Montano Young, Elaine Johnston, Puja Patel, Eun Joo Hwang, Domingo Rios Rivera, Max Braun and Jaime Hernandez.