A South African court has temporarily blocked a partnership between the state-owned logistics company, Transnet SOC Ltd., and a firm owned by Filipino billionaire Enrique Razon to expand and operate sub-Saharan Africa’s largest container port. The decision comes after A.P. Moller-Maersk A/S, the global shipping giant, contested the deal.
Maersk’s subsidiary, APM Terminals, was among the unsuccessful bidders in a tender process last year for the sale and management of nearly half of the main terminal in Durban for the next 25 years.
The Copenhagen-based company argued that the selected bidder, International Container Terminal Services Inc. (ICTSI), did not meet a critical solvency requirement, according to court filings.
The court’s interim order will remain in place until a second hearing addresses the broader legal challenge from APM Terminals.
Maersk welcomed the ruling, describing it as a positive step, and stated it is preparing for the next phase of the legal process with confidence. The company reiterated its commitment to supporting the development of South Africa’s infrastructure.
Transnet, in a separate statement, affirmed its commitment to the judicial process and said it is currently reviewing its options.
Transnet operates the majority of South Africa’s ports and freight railways. Most of the ports have been labelled as some of the least efficient in the world by a World Bank study.
Maersk, the world’s second-largest container shipping company and Denmark’s largest by revenue, was the runner-up in the bid. Other bidders in the tender included global players such as COSCO Shipping Ports Ltd., DP World Ltd., China Harbour Engineering Company Ltd., and Guangzhou Port Co. Ltd.
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