Transcript Slide 1

For exclusive use with 5th Annual Canada Maritime Conference and may not be used with the general public
Morgan Stanley Infrastructure Partners
Worldwide Port Update
15 September 2010
IU10-03161I-T09/10
For exclusive use with 5th Annual Canada Maritime Conference and may not be used with the general public
Morgan Stanley Infrastructure
Partners
Table of Contents
Section 1
2010 Performance & Developments
Section 2
Volumes & Rates
Section 3
Montreal Trade Routes
Section 4
Panama Canal Expansion
Section 5
2010 Port Industry Banking Transactions
2
For exclusive use with 5th Annual Canada Maritime Conference and may not be used with the general public
Morgan Stanley Infrastructure
Partners
Section 1
2010 Performance & Developments
3
For exclusive use with 5th Annual Canada Maritime Conference and may not be used with the general public
Morgan Stanley Infrastructure
Partners
2010 PERFORMANCE & DEVELOPMENTS
2010 Performance at Various Ports
• Americas Overview
–Panama Canal traffic and tonnage declined during the quarter
ending June 30. Total canal transits declined 2.8% from the same
quarter last year. Transits of supers – larger ships that require
greater time and navigation skills to transit the canal – decreased
3.1%
–Container volume at the Port of Vancouver, B.C. increased 12% in
the first six months of 2010 as demand for consumer goods
rebounds from last year’s recession
• Europe Overview
–Port of Rotterdam saw an 8% increase in throughput of roll on/off
vessels in the first six months of 2010 compared with the same
period last year; 14.8% year-on-year recovery in cargo throughput
for first-half 2010
–Port of Antwerp reported container volumes were up nearly 20% for
the first six months of 2010, to 4.2 million TEUs
Source
Journal of Commerce
4
For exclusive use with 5th Annual Canada Maritime Conference and may not be used with the general public
Morgan Stanley Infrastructure
Partners
2010 PERFORMANCE & DEVELOPMENTS
2010 Performance at Various Ports
• Asia Overview
– Container traffic at major ports in India for the April-July period
increased 14% over the same period last year. Indian Ports
Association estimates total volume for the first four months of
fiscal 2010-11 at 2.5 million TEUs
– Container traffic through Chinese ports hit an all-time monthly
high of 12.44 million TEUs in May 2010, up 21.9% from May
2009, as the nation’s foreign trade surged by nearly 50% from a
year ago
– Hong-Kong based Hutchinson Port Holdings, EBIT rose 35% as
container throughput increased 17% to 35.3 million TEUs in the
first-half 2010
– International Container Terminal Services, Inc. net income
increases 83% for the first six months of 2010. The Company
handled a consolidated volume of 2.0 million TEUs in the firsthalf 2010, 26% higher than the same period in 2009
Source
Journal of Commerce; Portworld; Capital IQ
5
For exclusive use with 5th Annual Canada Maritime Conference and may not be used with the general public
Morgan Stanley Infrastructure
Partners
2010 PERFORMANCE & DEVELOPMENTS
Current Developments in 2010
Carriers were exposed when rates collapsed last year, losing billions in
the process, and shippers were similarly exposed this year when rates
turned upward
• Emergence the Container Freight Swap Agreement (CFSA)
– Based on the Shanghai Shipping Exchange index developed by
ship broker Clarksons and marketed by Morgan Stanley
– Cash-settled agreement between two parties which allows hedging
against price movements in Asian containerized export markets
– Lock-in future costs (price in US$ per container for a given
number of containers on an agreed route during a specified
period) and crystallize future margins up to 23 months ahead
• During August 2010, Compañía Sud Americana de Vapores
(CSAV), the largest Chilean shipping company in Latin America
and the world’s eighth-largest container fleet, became the first
shipper to make a container-derivative trade with Morgan Stanley
Source
Economist; Journal of Commerce; ifw-net.com; Freight Investor Services website
6
For exclusive use with 5th Annual Canada Maritime Conference and may not be used with the general public
Morgan Stanley Infrastructure
Partners
2010 PERFORMANCE & DEVELOPMENTS
CSX National Gateway Corridor Project
CSX plans a major set of
construction projects across
the Midwest and along the
Atlantic seaboard allowing
for stacking boxes two high
across its entire system
– Digging out major
remaining obstacles
– Raising numerous line
clearances across four
states
Cascadia
Montreal
Midwest
– 185-acre Ohio hub
under construction
expected to save up to
two days on crosscountry moves from
West Coast ports
Northeast
Northern
California
Southern
California
– Cost for the National
Gateway corridor
estimated at $850
million, including $175
million for its 185-acre
hub Ohio hub
Southeast
NG Opportunities
Existing Flows
Gulf Coast
Florida
National Gateway Projects
NW Ohio Intermodal Transfer Hub
Source
Journal of Commerce
7
For exclusive use with 5th Annual Canada Maritime Conference and may not be used with the general public
Morgan Stanley Infrastructure
Partners
Section 2
Volumes & Rates
8
For exclusive use with 5th Annual Canada Maritime Conference and may not be used with the general public
Morgan Stanley Infrastructure
Partners
VOLUMES & RATES
Atlantic Coast Volumes YTD 2010 vs. YTD 2009
YTD North American East Coast Port Volumes Increase/Decrease
Jan–Jun 2010 vs. Jan–Jun 2009 (Measured in TEUs)
%
40.0
34.6
35.0
30.0
27.6
25.0
23.4
22.8
20.0
18.7
14.8
15.0
14.5
12.7
11.1
11.0
9.7
10.0
6.5
5.0
0.0
GPA
Imports
Source
(1)
VPA
(1)
SCSPA
PANYNJ
(2)
Halifax
Montreal
Exports
Port Websites; Press Releases; Norbridge research
Notes
1. GPA and VPA are through July as data was available
2. PA NY/NJ is loaded only
9
For exclusive use with 5th Annual Canada Maritime Conference and may not be used with the general public
Morgan Stanley Infrastructure
Partners
VOLUMES & RATES
Pacific Coast Volumes YTD 2010 vs. YTD 2009
YTD North American West Coast Port Volumes Increase/Decrease
Jan–July 2010 vs. Jan–July 2009 (Measured in TEUs)
%
80.0
64.2
56.8
60.0
40.0
23.5
19.9
20.0
16.2
14.4
17.0
16.4
12.0
0.4
0.0
(3.5)
(20.0)
(29.4)
(40.0)
POLA
Imports
Source
POLB
(1)
Oakland
(1)
Seattle
(2)
Tacoma
(1)
Vancouver
Exports
Port Websites; Press Releases; Norbridge research
Notes
1. POLB, Oakland, and Tacoma are loads only
2. Seattle is international only
10
For exclusive use with 5th Annual Canada Maritime Conference and may not be used with the general public
Morgan Stanley Infrastructure
Partners
VOLUMES & RATES
Drewry Container Rate Benchmark
August 2009 to August 2010
250%
200%
150%
100%
50%
0%
-50%
-100%
8/24/09 9/21/09 10/19/09 11/16/09 12/14/09 1/11/10
Week-to-week percent change
2/8/10
3/8/10
4/5/10
5/3/10
5/31/10 6/28/10 7/26/10
Year-over-year percent change
Rate Per 40-foot Box
$3,000
$2,500
$2,000
$1,500
$1,000
$500
Source
8/
9
8/
23
5/
3
5/
17
5/
31
6/
14
6/
28
7/
12
7/
26
4/
5
4/
19
3/
8
3/
22
2/
8
2/
22
$0
9/
7
9/
21
10
/5
10
/1
9
11
/2
11
/1
6
11
/3
0
12
/1
4
12
/2
8
1/
11
1/
25
• While the 16 Aug 2010
average spot rate dipped
3.1% sequentially, it was
up 110.5% year-over-year
and up 113.2% from the
beginning of the year. The
2 Aug 2010 average spot
rate was a record high,
surpassing all previous
rates since the index
began at year-end 2005
Rate Percentage Change
8/
24
• The rate benchmark is
based on Drewry Shipping
Consultants' research and
derived from NVOCCs
shipping Hong Kong to
Los Angeles. The rate is in
dollars and based on a full
40-foot containerload,
excluding terminalhandling charges in Hong
Kong
Journal of Commerce
11
For exclusive use with 5th Annual Canada Maritime Conference and may not be used with the general public
Morgan Stanley Infrastructure
Partners
VOLUMES & RATES
Rate Increases at Various Port Rates
Effective October 2010
• Orient Overseas Container Line Limited (OOCL) to raise rates on
services in both directions on the trans-Atlantic and on services from
the Middle East, South and Southeast Asia to Australia
–Between Europe and the U.S., Canada and Mexico, rates will be
$320 per TEU and $400 per FEU
–Increase rates by $300 per TEU shipped from Southeast Asia
(Singapore, Malaysia, Thailand, Indonesia, Vietnam, Cambodia,
Philippines, Indian Subcontinent and Middle East) to Australia
• Port of NY/NJ to raise some handling fees by 2 percent and impose
new charges for early delivery of export containers and for
improperly documented hazardous-materials exports at its five
marine terminals
–Additional charge of $125 per load for export cargo delivered to
terminals ahead of schedule
–Documentation fee of $50 per cargo unit for additional services
required for hazmat exports that arrive with improper
documentation
Source
Journal of Commerce
12
For exclusive use with 5th Annual Canada Maritime Conference and may not be used with the general public
Morgan Stanley Infrastructure
Partners
VOLUMES & RATES
Rate Increases at Various Port Rates
Effective October 2010
• Nippon Yusen Kaisha (NYK) to increase freight rates on containers
moving in both directions on its trans-Atlantic services
– Applies to all cargo under NYK Line independent tariffs and
service contracts; $150 per TEU and $300 per FEU
• Maersk Line to increase rates on all container cargoes shipped
across the North Atlantic
– Extra $250 for a 20-foot dry container, $350 more for a 40-foot
box and an additional $500 for a 40-foot reefer container for cargo
moving in both directions between the U.S. and northern Europe
– Rates will rise by $250 per TEU and $350 per FEU and reefer
boxes moving to and from Canada and North Europe
– Cargo moving from the U.S. and Canada to the Mediterranean
will rise by $200 per container
– Cargo moving westbound from the Mediterranean to the U.S. and
Canada will rise by $200 per container
Source
Journal of Commerce
13
For exclusive use with 5th Annual Canada Maritime Conference and may not be used with the general public
Morgan Stanley Infrastructure
Partners
Section 3
Montreal Trade Routes
14
For exclusive use with 5th Annual Canada Maritime Conference and may not be used with the general public
Morgan Stanley Infrastructure
Partners
MONTREAL TRADE ROUTES
Montreal Gateway’s Trade Lanes
North Europe and the Mediterranean
• North Europe and the
Mediterranean are
Montreal Gateway’s
largest trade lanes
Montreal Container Traffic by Trade Region: 2004 and 2009
Africa / Oceania
1.0%
Asia & Middle East
1.0%
Africa / Oceania
3%
Canada
3.0%
Mediterranean
19.2%
Asia &
Middle East
16%
U.K. Continental
Europe
75.8%
Total TEUs: 1.2M
Source
Latin America
8%
POM Reported Data. Norbridge Analysis
Canada
3%
U.K. Continental
Europe
51%
Mediterranean
19%
Total TEUs: 1.2M
15
For exclusive use with 5th Annual Canada Maritime Conference and may not be used with the general public
Morgan Stanley Infrastructure
Partners
MONTREAL TRADE ROUTES
Montreal Gateway’s Trade Lanes
North Europe-North Atlantic
Container Traffic
• Montreal Gateway
maintained its share on
the Northern Europe-North
Atlantic trade between
2004 and 2008, but lost
share during the global
economic downturn in
2009
2004
2008
Other US Ports (11)
11%
Halifax
4%
Halifax
3%
PANYNJ
35%
Montreal
33%
Total TEUs: 2.8MM
Source
Other US Ports (11)
11%
Other US Ports (11)
11%
Norfolk
17%
Norfolk
16%
2009
POM and Halifax Reported Data; PIERS; Norbridge Analysis
PANYNJ
35%
Halifax
4%
PANYNJ
36%
Norfolk
19%
Montreal
34%
Total TEUs: 2.7MM
Montreal
30%
Total TEUs: 2.1MM
16
For exclusive use with 5th Annual Canada Maritime Conference and may not be used with the general public
Morgan Stanley Infrastructure
Partners
MONTREAL TRADE ROUTES
Montreal Gateway’s Trade Lanes
Mediterranean-North Atlantic
Container Traffic
• Montreal Gateway gained
share on the
Mediterranean-North
Atlantic trade between
2004 and 2008–2009
2004
2008
Other US Ports (11)
Halifax 6%
7%
PANYNJ
48%
Norfolk
18%
Halifax
6%
Total TEUs: 1.2MM
Source
Other US Ports (11)
6%
Norfolk
17%
Montreal
20%
POM and Halifax Reported Data; PIERS; Norbridge Analysis
2009
Montreal
26%
Total TEUs: 1.1MM
PANYNJ
45%
Halifax
6%
Norfolk
16%
Other US Ports (11)
5%
PANYNJ
48%
Montreal
26%
Total TEUs: 0.9MM
17
For exclusive use with 5th Annual Canada Maritime Conference and may not be used with the general public
Morgan Stanley Infrastructure
Partners
MONTREAL TRADE ROUTES
China - North Atlantic’s Largest Trading Partner
North Atlantic Container Traffic by Trade Region: 2004 and 2009
All Other Regions
23%
N. Europe
30%
Caribbean/
C. America
7%
China
26%
S. America
8%
S. America
10%
China
18%
Mediterranean
13%
Total TEUs: 8.8M
Source
Other Regions
26%
Caribbean/
C. America
8%
Northern Europe
23%
Mediterranean
10%
Total TEUs: 8.9M
POM Reported Data; PIERS; Norbridge Analysis
Notes
1. Excludes Halifax as data not provided
18
For exclusive use with 5th Annual Canada Maritime Conference and may not be used with the general public
Morgan Stanley Infrastructure
Partners
Section 4
Panama Canal Expansion
19
For exclusive use with 5th Annual Canada Maritime Conference and may not be used with the general public
Morgan Stanley Infrastructure
Partners
PANAMA CANAL EXPANSION
Panama Canal Expansion
• More than doubling the annual capacity of the Panama Canal
primarily through a doubling/tripling of the maximum vessel size
• The expansion project is currently ahead of its Q4-2014 schedule
• Adding two sets of locks to handle vessels of up to 12,500 TEUs
and with drafts of up to 50’
• High-value time-sensitive goods expected to continue to West Coast
ports
• Navigating cargo through the Panama Canal and up the East Coast
will take more time
• Non-time sensitive commodities and goods will likely choose the
retrofitted Panama route
Source
Norbridge Analysis
20
For exclusive use with 5th Annual Canada Maritime Conference and may not be used with the general public
Morgan Stanley Infrastructure
Partners
PANAMA CANAL EXPANSION
Big Ship Realities: 10,000 TEU Ship
• U.S. Atlantic Coast ports anticipate significant diversion of AsiaNorth American cargo in very large (8,000–10,000 TEU vessels)
from U.S. Pacific Coast ports to U.S. Atlantic Coast ports in a 2015–
2017 timeframe.
• Assumption is 5,000–7,000 TEU ships will cascade into other
Atlantic Basin trades
• Big ships require high utilization rates in order to deliver their scale
economy advantages
• Generate 900,000-950,000 TEUs of round-trip capacity per year on
a weekly service
• Five weekly strings generate an annual capacity equivalent to the
entire 2009 throughput for the Port of New York
– New York’s total 2009 traffic was handled by 20+ container lines
operating on 10+ trade lanes
• Requires 2+ days to discharge and reload 50% of its capacity
assuming 24x 7 operations, four cranes and 30 moves per hour
• Requires a minimum 3,000–3,500 ground slots
Source
Norbridge Analysis
21
For exclusive use with 5th Annual Canada Maritime Conference and may not be used with the general public
Morgan Stanley Infrastructure
Partners
Section 5
2010 Port Industry Banking Transactions
22
For exclusive use with 5th Annual Canada Maritime Conference and may not be used with the general public
Morgan Stanley Infrastructure
Partners
2010 PORT INDUSTRY BANKING TRANSACTIONS
2010 Banking Transactions in the Port Industry
M&A
Source
Private Placements
Equity Offerings
Debt Offerings
Bankruptcies and Restructurings
Capital IQ; Press Releases
23
For exclusive use with 5th Annual Canada Maritime Conference and may not be used with the general public
Morgan Stanley Infrastructure
Partners
2010 PORT INDUSTRY BANKING TRANSACTIONS
DP World Portfolio–Operating Terminals and Developments
Committed Future Portfolio
Terminals
Source
New Development
Dubai World website
24
For exclusive use with 5th Annual Canada Maritime Conference and may not be used with the general public
Morgan Stanley Infrastructure
Partners
2010 PORT INDUSTRY BANKING TRANSACTIONS
2010 M&A Transactions
Acquirer /
Target
Intl. Ports of South America and Logistics, S.A.
/
Tecplata, S.A.
Salamanca Capital Investments /
Marina Port Vell, S.A.
Target
Description
Operators of a port termina in the Port of
La Plata
Target
Location
Buenos Aires, Argentina
Port operator
Catalonia, Spain
07/05/10
SK Energy International /
Euro Tank Terminal BV
Europoort terminal
Rotterdam, Netherlands
06/28/10
Harbour Center Port Terminal, Inc. /
Manila North Harbour Port, Inc.
Date
08/18/10
07/29/10
(Reported
Currency mm)
Size
ND
Transaction
Status
Closed
€ 30.0
Closed
ND
Closed
PHP 350.0
Closed
Engaged in developing, managing,
operating and maintaining the north
harbor port
The Port Authority of New York & New Jersey / 98 acre container terminal
Global Terminal
Manila, Philippines
06/02/10
Aosta /
Terminal Puerto Rosario S.A.
Operator of a multipurpose port
Santa Fe, Argentina
ND
Closed
06/01/10
K-AATerminals Pty Ltd. /
Australian Amalgamated Terminals Pty.
Ltd.
Shanghai International Port Group Co. Ltd.
(SHSE:600018) /
APM Terminals Zeebrugge N.V.
Antwerp Port Authority /
Beverdonk Container Terminal
Operator of terminals with facilities for
importing and exporting motor vehicles
and general cargo
Provides container handling services for
the shipping industry
Queensland, Australia
ND
Closed
Belgium
€ 108.6
Closed
Open access terminal aong the bank of
the Albert canal
Belgium
ND
Closed
Noble Group Ltd. (SGX:N21) /
Terminales Portuarias del Pacífico S.A.P.I.
de C.V.
Hans Lehmann KG /
Hamburger Hafen und Logistik AG,
Premises of the Former Container Terminal
PT Cahaya Pratama Lestari /
PT Mitratama Perkasa
Operator of a public terminal that
specializes in bulk minerals and steel byproducts
Port logistic terminal
Mexico State, Mexico
ND
Closed
Schleswig-Holstein, Germany
ND
Closed
Owner and operator of a barge port
facility used to transport coal mined from
the Bengalon mine
Indonesia
$120.0
Closed
06/25/10
05/28/10
05/28/10
04/22/10
04/13/10
03/31/10
Source
Jersey City and Bayonne, NJ
ND
Closed
Capital IQ; Press Releases
25
For exclusive use with 5th Annual Canada Maritime Conference and may not be used with the general public
Morgan Stanley Infrastructure
Partners
2010 PORT INDUSTRY BANKING TRANSACTIONS
2010 M&A Transactions
(Reported
Currency mm)
Size
$49.3
Closed
Campeche, Mexico
ND
Closed
Setúbal, Portugal
ND
Closed
€ 315.0
Closed
Acquirer /
Target
Global Liman Isletmeleri A.S. /
Ortadogu Antalya Liman Isletmeleri
Target
Description
Owner and operator of the Antalya
Seaport
Target
Location
Turkey
03/08/10
Kansas City Southern (NYSE:KSU) /
Puerta México
02/12/10
FINICAPITAL - Investimentos e Gestão SA,
GLOBALPACTUM, Gestão de Activos, SA /
Sadoport SA
Brookfield Asset Management Inc.
(TSX:BAM.A), Brookfield Infrastructure
Partners L.P. (NYSE:BIP) /
APM Terminals Management B.V. /
Brasil Terminal Portuário S/A
An inland port that provides terminal,
transportation and stevedoring services
in North and South America
Multi-purpose marine terminal
Ports and logistics service company
Cleveland, United Kingdom
Port terminal developer
São Paulo, Brazil
J.P. Morgan Asset Management /
Dragados Servicios Portuarios y Logisticos,
SL,
Martin Midstream Partners LP
(NasdaqGS:MMLP) /
Martin Resource Management Corp., Two
Chu Kong Shipping Development Co. Ltd.
(SEHK:560) /
Civet (Zhuhai Bonded Area) Logistics
Terminal Link (Miami) LLC /
Nord France Terminal International O.U.
Comprised of ports in Bilbao, Málaga,
Las Palmas and Port of Valencia; port
and logistical services
Two marine terminals serving the oil and
gas industry
Spain
03/09/10
Date
03/27/10
10/07/09
08/18/10
Enterprise
ND
Announced
€ 720.0
Announced
United States
$11.7
Announced
Owner and operator of the Civet Port
Guangdong Province, China
￥77.7
Announced
Container terminal operator
Nord-Pas-de-Calais, France
Celco S.A. /
Socep SA (BVP:SOCP)
Port operator
Romania
07/07/10
Maher Terminal, LLC /
Melford International Terminal Inc.
Container terminal, currently under
development
Nova Scotia, Canada
05/18/10
Shenzhen Chiwan Wharf Holding /
Zhonghai Port Development
Container operator of Laizhou Port
Shandong Province, China
N/A
Acquirer [OPEN] /
Port of Brisbane
Australia’s most strategically situated
Ports
Queensland, Australia
08/06/10
08/03/10
08/02/10
07/08/10
Source
ND
Announced
RON 33.7
Announced
ND
Agreement Signed
Agreement Signed
ND
N/A
Capital IQ; Press Releases
26
For exclusive use with 5th Annual Canada Maritime Conference and may not be used with the general public
Morgan Stanley Infrastructure
Partners
2010 PORT INDUSTRY BANKING TRANSACTIONS
2010 Private Placement Transactions
Target
Location
Date
Issuer
Public Companies
8/17/2010
Open Joint- stock company Port Perm
Investor(s)
8/13/2010
Jiangsu Lianyungang Port Co., Ltd.
(SHSE:601008)
Lianyungang Port Group
China
4/29/2010
Cosco Pacific Ltd. (SEHK:1199)
China COSCO Holdings Company Limited
(SEHK:1919)
Hong Kong
4/23/2010
Rizhao Port (Group) Co., Ltd.
(SHSE:600017)
Shandong Province, China
01/12/10
Tianjin Port Development Holdings Ltd.
(SEHK:3382)
Hong Kong
Private Companies
6/29/2010
Jiangyin Sunan International Container
Terminal Co., Ltd.
Permskaya obl., Russia
Issue
Price
RUR 1.00
￥4.26
HKD 10.40
￥5.91
(mm)
Shares
35.0
130.0
449.0
260.0
(Reported
Currency mm)
Proceeds
RUR 35.0
￥554.0
HKD 4,669.6
￥1,536.6
HKD 2.50
986.5
HKD 2,466.3
PYI Corporation Ltd. (SEHK:498), Shanghai
International Port Group Co. Ltd. (SHSE:600018)
Jiangsu Province, China
NA
NA
$44.0
6/9/2010
Port Adhoc
Aurel NextStage Transmission 2007, FIP, Esfin
Gestion, Naxicap Partners, NextStage Références
2008, FIP, NextStage SAS, Phillimore
Investissement s.a.s.
Brittany, France
NA
NA
€ 3.6
04/28/10
T-Grão Cargo Terminal de Graneis S/A
Darby Brazil Mezzanine Fund, L.P., Darby Stratus
Administracao Investimentos Ltda
Sao Paulo, Brazil
NA
NA
$19.9
3/1/2010
Karaikal Port Private Limited
IDFC Project Equity Company Limited, India
Infrastructure Fund
Tamil Nadu, India
NA
NA
$32.6
Source
Capital IQ; Press Releases
27
For exclusive use with 5th Annual Canada Maritime Conference and may not be used with the general public
Morgan Stanley Infrastructure
Partners
2010 PORT INDUSTRY BANKING TRANSACTIONS
2010 Debt Offering Transactions
Filing
Date
08/23/10
Offering
Date
08/26/10
Issuer
Transnet Ltd.
Johannesburg, South Africa
Offering
Amt. (mm)
ZAR 96.8
08/16/10
08/19/10
Transnet Ltd.
Johannesburg, South Africa
ZAR 748.8
06/24/10
07/01/10
Shanghai Province, China
06/14/10
06/18/10
Shanghai International Port Group Co. Ltd.
(SHSE:600018)
Transnet Ltd.
Johannesburg, South Africa
ZAR 117.9
06/14/10
06/18/10
Transnet Ltd.
Johannesburg, South Africa
ZAR 58.0
06/14/10
06/18/10
Transnet Ltd.
Johannesburg, South Africa
ZAR 18.6
05/10/10
05/13/10
Transnet Ltd.
Johannesburg, South Africa
ZAR 204.0
Manila, Philippines
04/23/10
06/30/10
International Container Terminal Services Inc.
(PSE:ICT)
Port Autonome d'Abidjan
04/13/10
04/15/10
Transnet Ltd.
Johannesburg, South Africa
ZAR 200.0
04/13/10
04/15/10
Transnet Ltd.
Johannesburg, South Africa
ZAR 100.0
04/01/10
04/01/10
Transnet Ltd.
Johannesburg, South Africa
ZAR 203.8
03/29/10
04/01/10
Transnet Ltd.
Johannesburg, South Africa
ZAR 22.1
Rizhao Port (Group) Co., Ltd. (SHSE:600017)
Shandong Province, China
04/29/10
03/16/10
03/10/10
03/17/10
03/08/10
01/21/10
Source
01/25/10
Abidjan, Ivory Coast
International Container Terminal Services Inc.
Manila, Philippines
(PSE:ICT)
Santos-Brasil Participacoes S.A.
Sao Paulo, Brazil
(BOVESPA:STBP11)
Jiangsu Lianyungang Port Co., Ltd. (SHSE:601008) Jiangsu Province, China
￥2,000.0
$205.3
XOF 30,000.0
￥1,300.0
$250.0
￥650.0
Capital IQ; Press Releases
28
For exclusive use with 5th Annual Canada Maritime Conference and may not be used with the general public
Morgan Stanley Infrastructure
Partners
2010 PORT INDUSTRY BANKING TRANSACTIONS
Other 2010 Transactions
Filing
Pricing
Date
Date
Equity Offerings
07/13/10
Pending
06/05/10
Pending
04/15/10
07/04/10
12/21/09
Pending
Date
Offering
Type
Issuer
Gemadept Corporation (HOSE:GMD)
Ningbo Port Shipping & Cargo
Transportation Agency Co.,Ltd.
TangShan Port Group CO.,LTD.
(SHSE:601000)
Gujarat Pipavav Port Limited
Company
Ho Chi Minh City,
Vietnam
China
Follow-on
Hebei Province,
China
Mumbai, India
IPO
IPO
Target
Location
Issue
Price
(mm)
Shares
(mm)
Proceeds
51.8
2,500.0
￥13,250.0
￥8.20
200.0
￥1,640.0
INR 42.00
INR 48.00
115.9
IPO
INR 5563.6
Summary
Bankruptcies / Restructurings
08/29/10
Dubai World Corporation
Dubai
Seeking to renegotiate $14.4 billion of loans with its creditors and is prepared
to sell assets including ports firm DP World
06/15/10
Coastline Terminals of Conn. Parent, Inc.
Connecticut, USA
Filed Chapter 11 in the US Bankruptcy Court for the District of CT
03/30/10
Dunhill Terminals LP
Alabama, USA
Filed Chapter 11 in the US Bankruptcy Court in Mobile, AL
11/20/09
Babcock & Brown Infrastructure (ASX: BBI)
Toronto, Canada
Bermuda
08/24/10
CMA CGM Group
Brookfield Asset Management Inc. and Brookfield Infrastructure Partners
L.P. complete the recapitalization of B&B Infra, changing its name to Prime
Infrastructure
Negotiating with a Lebanese investor group in an effort to restructure its $5.3
billion debt taken on to increase its fleet
Source
Capital IQ; Press Releases
29
For exclusive use with 5th Annual Canada Maritime Conference and may not be used with the general public
L:\MSIP\Asset Management\Presentations\Journal of Commerce Presentation\Watt Presentation v1.ppt\A2XP\01 SEP 2010\7:35 PM\30
Morgan Stanley Infrastructure
Partners
2010 PORT INDUSTRY BANKING TRANSACTIONS
DP World - Developments
• Dubai World seeking to renegotiate $14.4 billion of loans and may
sell ports firm DP World in a bid to raise as much as $19.4 billion to
repay creditors; has also considered selling off assets over a period
of eight years of pay off creditors
• DP world handled 23.7 million TEUs across its portfolio of 50
operating terminals in the first-half 2010, an increase of 16% against
the same period last year. The Company also announced EBITDA
was up 8% to $580 million for the six month ended June 30, 2010
• Dubai World postponed a plan to list some of its shares on the
London Stock Exchange. DP World turned to the option of listing
shares in London after talks to sell a stake to regional private-equity
company Abraaj Capital collapsed
• In February 2010, DP World announced it was considering floating
parts of its Australian assets in an initial public offering valued at
$884 million. DP World planned on calling the newly listed entity
DP Australia.
Source
Dubai World website; Portworld; Reuters, Journal of Commerce; Capital IQ
30
For exclusive use with 5th Annual Canada Maritime Conference and may not be used with the general public
Morgan Stanley Infrastructure
Partners
Disclosures
The information in this presentation (the “Presentation”) is highly confidential and is being provided solely for informational and educational purposes. It is to be used exclusively
at the 5th Annual Canada Maritime Conference on September 15, 2010. This Presentation may not be reproduced or distributed to any other persons. The information herein does
not contend to address the financial objectives, situation or specific needs of any individual recipient. In addition, this Presentation is not an offer, or a solicitation of an offer, to buy
or sell any security or instrument or to participate in any trading strategy.
Any views expressed are those of the presenter as of the date of the presentation and are subject to change at any time due to changes in market or economic conditions. The views
expressed does not reflect the opinions of all portfolio managers at MSIM or the views of the firm as a whole, and may not be reflected in the strategies and products that the Firm
offers.
Charts and graphs provided herein are for illustrative purposes only. Past performance is not indicative of future results.
Information regarding expected market returns and market outlook is based on the research, analysis, and opinions of the presenter. These conclusions are speculative in nature,
may not come to pass, and are not intended to predict the future of any specific Morgan Stanley investment. No representation or warranty can be given with respect to the accuracy
or completeness of the information.
All investments involve risks, including the possible loss of principal.
31