China Merchants Port Holdings Company Limited (00144) proposes entering into a facility agreement to provide a shareholder loan of USD19.6 million to Terminal Link SAS. Terminal Link SAS is owned 49% by Direct Achieve Investments Limited, a wholly owned subsidiary of China Merchants Port Holdings Company Limited, and 51% by CMA Terminals, a wholly owned subsidiary of CMA CGM.

The proposed facility bears an annual interest rate of 8.25% and carries a 10-year availability period, with the funds designated to support KFTL’s capital expenditure expansion. CMA Terminals plans to extend a corresponding shareholder loan of USD20.4 million on the same terms, proportional to its shareholding.

According to audited figures as of December 31, 2024, Terminal Link SAS reported total assets of USD3,122 million, total liabilities of USD1,643 million, and net assets of USD1,479 million. For the same period, it recorded revenue of USD695 million and net profits of USD43 million.

The facility agreement is subject to the relevant shareholder approval of China Merchants Port Group Co., Ltd. under the Shenzhen Stock Exchange listing rules. However, under the Hong Kong Listing Rules, the applicable percentage ratios for the transaction fall below 5%, rendering it exempt from reporting and disclosure requirements.