The $22.8bn ports sale decision by CK Hutchison to a consortium consisting of BlackRock and TiL was at least in part the result of long-standing personal relationship between the major leaders of CK Hutchison and TiL, according to a report in the Hong Kong Standard.
CK Hutchison head Li Ka-shing had a “deep relationship” with the Italian billionaire Aponte family, the report stated. Gianluigi Aponte is the second-generation leader of the international shipping firm and chairman of Terminal Investment Limited (TiL),
Mediterranean Shipping Company (MSC), which was founded by the Aponte family in 1970 and which has grown in tandem with the huge growth in the container shipping business since then, has strong ties with the Li family. The relationship between the two billionaire families dates back to the previous generation, reported Sing Tao Daily, a sister paper of The Standard.
Bonds of trusts between families still count for a lot in the global maritime sector, where leadership often passes from generation to generation, and it was this trust between the families that enabled the successful conclusion of the deal, the report claimed.
Diego Aponte was said to have been the key figure facilitating the deal. Rather than emphasizing the transactional benefits, Aponte instead emphasized the importance and advantages of long-standing mutual trust rather than short-term dealmaking.
“Our relationship with Hutchison Ports goes back a long way and is a relationship of mutual respect and friendship. We have a very high regard toward the Hutchison Ports management team, and once this transaction closes, we look forward to welcoming them into our larger family,” Aponte said.
Diego Aponte joined MSC in 2006, assisting his father, before assuming the role of president of the MSC group in 2014.He founded TiL in 2000. After the deal is finalized, it is expected to operate the 43 ports currently run by CKH.