Port acquisition given the green light
Grindrod to proceed with acquisition of TCM
SOUTH AFRICA: After revealing plans to take full control of Terminal de Carvão da Matola Limitada (TCM) during September, Grindrod Limited has been given the green light by the Competition Commission without conditions.
The Commission has ruled that the proposed transaction is unlikely to substantially lessen or prevent competition in any market and that the proposed transaction does not raise significant public interest concerns.
Grindrod will acquire the remaining 35% in a US$77 million acquisition that is expected to be finalised within the first quarter of 2025.
The acquisition of the remaining interest in TCM is part of the company’s growth plans and long term vision to enhance its integrated logistics services along the Maputo corridor.
TCM, a private entity based in Maputo, operates a dry bulk terminal with an annual export capacity exceeding 7 million tonnes; specialising in commodities like magnetite and coal. The terminal’s sub-concession with the Maputo Port Development Company allows it to handle cargo via rail and road, offering an integrated pit-to-port logistics solution.
Grindrod’s plan to boost the port’s throughput capacity is bolstered by a new agreement with Vitol Coal South Africa. This long-term partnership highlights Grindrod’s commitment to maintaining stable and consistent cargo flows, further strengthening its competitive position in the region.
The group’s intention to further develop the TCM terminal will likely result in increased capacity and operational efficiency.
2109