German-based shipping company Hapag-Lloyd has acquired 100% of the shares held by SAAM Ports S.A and SAAM Logistics S.A. With the  US$1 billion purchase, Hapag-Lloyd now owns the entire terminal business and associated logistics services.

The carrier has rapidly expanded its terminal portfolio, adding to a total transport capacity of 1.8 twenty-foot equivalent units (TEU). 

“Investing in terminal infrastructure is a key element of our strategic agenda, and Latin America is one of our stronghold markets,” Hapag-Lloyd CEO Rolf Habben Jansen said.

"Aquiring SM SAAM’s terminal operations and complementary logistics services will help us to further strengthen our business while building up a robust and attractive terminal portfolio."

As a part of its present strategy, Hapag-Lloyd has  prioritized investing in terminals over other options. The Chilean acquisition is one of the five targeted investment deals closed by the firm in Germany, Italy and Morocco.

The deal covers ten terminals operated by SAAM across the Americas. In Chile, this comprises operations in Iquique, Antofagasta, San Antonio, San Vicente and Corral. The acquisition adds 3.5 million TEU to Hapag-Lloyd’s container output in the region, along with 4,000 employees.

For SAAM, this means a generated net profit of $400 million. This also allows the operator to focus on expanding its towage and air cargo businesses in Latin America, as explained by its representatives in a separate statement.

Global bank HSBC expects the container shipping sector to make more than $163 billion in operating profit this year, in line with a Drewry expectation of $150 billion, JOC.com reported.