Manzanillo Container Terminal

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Manzanillo container terminal was transferred to the private sector in July 1995. Operadora Portuaria de Manazanillo S.A. de C.V. (TMM (80%), SSA (20%)) won the concession by bidding US$33.5 million; while the second bid, made by a group of foreign lines including APL and Nedlloyd, bid only US$8.7 million. The winining consortium paid an additional US$15 million for port equipment, including two container cranes, and contract signing fees. A further US$21 million was allocated to the port to double throughput within a year and to eventually raise handling capacity to 250,000 teu per year. After taking over operation, the consortium immediately raised the handling fees to the government imposed 3-year ceiling of US$ 160/container. The consortium have become the exclusive users of the terminal with other carriers preferring multi purpose berths in the port that have been leased for 15 years in 1995 to Operadora de la Cuenca del Pacífico, S.A. de C.V., subsidiary of Consorcio Integral de Comercio Exterior, S.A. de C.V. In May 2002, the joint venture operator received approval from the government for the expansion of 500 meters of waterfront and 24 acres of yard. It was expected that the expanded yard and berth positions would increase handling capacity to 500,000 TEUs per year. The ownership of TMM Ports and Terminals Operations at 2002 year-end was 51% Grupo TMM and 49% SSA Mexico. By 2003, the company was ultimately wholly-owned by Carrix, Inc., a US-based port and terminal operator. In May 2003, Carrix, through its Mexican subsidiary, SSA Mexico Holdings, acquired 51% of the outstanding shares of TMM PyT. Combined with the remaining 49% of TMM PyT already owned by Carrix through its subsidiary, TMM PyT became a 100% owned subsidiary of Carrix. Carrix, in turn, was formerly known as FRS Service Companies, Inc., and was the parent company of SSA Marine, formerly known as Stevedoring Services of America. In late January 2004, IFC agreed to provide a US$45 million medium term facility that included commercial bank co-financing under a Citibank syndicated loan. The financing was to support the acquisition of the 51% stake in TMM PyT by Carrix. None None