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Hanjin Shipping, South Korea's biggest shipping company, announced on March 6, 2014 that it selected an IBK Securities and Korea Investment Partners consortium as the preferred bidder for its Algeciras container terminal in Spain.
The IBK consortium will acquire a 70 % stake in Total Terminal International Algeciras (TTIA) at about W180 billion (US$168 million). In a public bidding held last year, the consortium competed with other bidders such as KDB Infrastructure Asset Management.
IBK Investment & Securities, a subsidiary of Industrial Bank of Korea, was given a high score for its experience in supporting successful restructurings.
The regional government of Andalusia in Spain recently made available €3.86 million of financial incentives to TTIA to support the proposed expansion of its container terminal at Isla Verde Quay. This initiative, which is part of a €44.1 million investment package, will help TTIA compete with regional rivals, such as Tanger-Med in northern Africa. Once implemented, TTIA would have an additional 83,000 m² of yard; currently it operates an area of 293,000 m².
The port of Algeciras Bay awarded a concession to Hanjin Shipping in 2008 to build and operate a second container terminal at this strategic location in the Strait of Gibraltar. TTI Algeciras has two quay lines of 850m and 550m. Last year, the terminal handled 1.21 million TEUs, up 4% from the 1.16 million TEUs moved in 2012.