PSA International completes Penn Terminals acquisition
PSA International Pte Ltd (PSA) has completed the acquisition of Penn Terminals (Penn) located on the Delaware River, United States of America (USA), from Macquarie Infrastructure Partners, a fund managed by Macquarie Infrastructure and Real Assets, following formal approval by the relevant regulatory authorities.
Penn is one of the best equipped, privately owned multipurpose marine terminals on the Eastern Coast of the USA. Penn’s terminal, warehousing and stevedoring services have enabled it to successfully handle its clients' cargo since 1986. Penn is known industry wide for its reliability and efficiency in handling container, perishable, project, super sack, steel, pipes, forest products and other break-bulk cargoes.
“This acquisition represents PSA’s very first foray into the USA. We are delighted to embrace Penn as the newest member of the global PSA family and to be able to participate in its continued growth and expansion. We are committed to partnering the state of Pennsylvania, customers, staff and the local community, as well as key stakeholders to augment Penn’s capabilities and connectivity in order to better serve the needs of shippers and receivers in the greater US Mid-Atlantic region and beyond,” said Tan Chong Meng, Group CEO, PSA International.
“Since we acquired Penn Terminals in 2008, we have worked closely with the Penn management team to reliably, safely and efficiently handle customers’ cargo,” said Karl Kuchel, CEO of Macquarie Infrastructure Partners. “We are proud of the growth that Penn has achieved under our ownership and look forward to seeing this continue under PSA’s ownership.”
Penn has recently undergone a significant capacity upgrade with the addition of two new post-panamax Ship-to-Shore (STS) cranes in late 2018; bringing its total STS count to four. Penn is also a key component of the perishable cargo handling infrastructure of the Delaware River with approximately 2,850,000 cubic feet (80,400 cubic meters) of on-dock reefer warehouse space. It is estimated that close to 40% of the US fruit imports come in via the Delaware River, which tallies to about 4 million tons per year.
The Delaware River’s key advantage is its existing cold chain ecosystem, fulfilling importers’ need for inspection, sorting, and quality checking of fresh fruit produce, prior to transport to their final destinations. Within an hour’s drive from the Delaware River port complex, there are around 40 other refrigerated warehouses/logistics operators who deal 2 of 2 in chilled and frozen cargoes. This existing cold chain infrastructure is not easily replicated, either in scope or level of efficiency. Penn remains a proud partner in the cold chain infrastructure of the eastern USA.
In North America, PSA also operates Ashcroft Terminal, British Columbia’s largest inland port facility and Halterm Container Terminal, which is the only facility in Eastern Canada that can serve mega container vessels.