Panama Canal ports operator plans to invite Chinese investor to consortium
CK Hutchison Holdings said on Monday that it will continue talks with the consortium "with a view of inviting major strategic investor" from China "to join as a significant member of the consortium."
The period for exclusive negotiations between the company and the consortium led by US asset management firm BlackRock expired Sunday.
The port operator has not disclosed the name of the potential investor. But the Wall Street Journal reported that Beijing wants a state-owned marine transportation company to join the consortium.
CK Hutchison agreed in March to sell the ports' business in the face of pressure from US President Donald Trump, who is calling for the removal of Chinese influence from the Panama Canal.
Beijing opposed the agreement and warned it will review related transactions.
CK Hutchison is believed to be trying to obtain consent from China by announcing the plan to invite a Chinese investor.
But the move is likely to draw the ire of the Trump administration. Whether the negotiations will progress smoothly remains unknown.
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