Wednesday , 18 September 2019
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Morgan Stanley has agreed to acquire an 80% interest in Montreal Gateway Terminals (MGT) from Germany's TUI. TUI's shipping subsidiary Hapag-Lloyd, which inherited MGT from the takeover of CP Ships, is a major customer of MGT and will remain a partner, retaining a 20% stake in the company.

Morgan Stanley takes 80% stake in MGT

MGT operates the Racine and Cast terminals on the St. Lawrence River in Montreal, Quebec, which between them handle around 90% of the city’s container traffic. Montreal is the third largest North Atlantic container port, and serves as a key entry point for trade between Europe, Canada and the US Midwest, including Chicago and Detroit.

“The strategic location, combined with high utilisation of the Montreal port, provides a particularly stable income profile,” said Ron Lepin of Morgan Stanley. Mr Lepin was previously managing director of Ontario Teachers Pension Plan (OTPP), whose recent investments include last year’s US$2.35bn purchase of Orient Overseas International’s Terminals division.