An impressive deal has been announced as a consortium led by BlackRock has agreed with CK Hutchison to acquire its controlling stake in Hutchison Port Holdings (HPH). The acquisition includes ports in the Panama Canal, as well as dozens of other ports worldwide, with the deal valued at $22.8 billion!

The agreement, which covers 80% of HPH, will include a range of ports in 23 countries, with 199 berths. Notably, the ports in Panama, located in the cities of Balboa and Cristobal, are among the most strategic aspects of the deal, while ports in Hong Kong and China are not included. TIL, a subsidiary of MSC, will participate in the acquisition through the consortium and has already expressed enthusiasm for the agreement.

It is noteworthy that this deal comes at a time of intense geopolitical tensions, with the U.S. and China in ongoing confrontation. However, both CK Hutchison and its partners insist that this move is purely commercial and not related to political pressures, despite analysts linking the deal to political developments around the Panama Canal.

“This transaction is the result of a competitive process and has nothing to do with political developments,” said Frank Sixt, co-managing director of CK Hutchison.

The deal is pending legal and regulatory approvals, meaning investors should be cautious with CK Hutchison shares until its completion. Despite any political implications, the agreement is expected to have a positive impact on the global shipping industry, with many anticipating that the new owners will further enhance the business potential of the ports.