The sale by the Hong Kong conglomerate, which contains twoports along the strategically important Panama Canal, has become highly politicized amid intensifying U.S.-Sinotrade tensions.
“No concentration of undertakings shall be implemented without approval, otherwise legal liability will be incurred,” the State Administration for Market Regulation said in a statement.
The statement was in response to a Wall Street Journal article on April 16. The MSCshippingempire, which is part of the BlackRock consortium, has held discussions on moving ahead with the bulk of the deal while disputes over the two Panamaports are resolved, the reportsaid, citing people familiar with the matter.
The deal has two components with different ownership structures – one for the Panamaports and one for everything else, the reportadded.
U.S. President DonaldTrumphas repeatedly said he wants to take back the Panama Canal and has hailed the deal as a “reclaiming” of the waterway. Chinese state media, however, have criticized the planned sale as a betrayal of China’s interests.
Trumpsaidon Saturday that American military and commercial ships should be allowed to travel through the Panama Canal and Suez Canal free of charge.
Tycoon Li Ka-shing’s CK Hutchison announced last month it would sell its 80% holding in theports business which encompasses 43ports in 23 countries. The business has an enterprise value, which includes debt, of $22.8 billion.
Singapore’s PSA International, which owns the other 20%, is also exploring a sale of its holding, sources havesaid.
Overall the Hong Kong conglomerate has interests in 53ports.Ports in Hong Kong and mainland China were not included in the deal.
(Reporting by Beijing newsroom; Editing by Edwina Gibbs)
