An investor group supported by BlackRock has agreed to purchase a majority stake in the Hong Kong-based company that manages ports on both sides of the Panama Canal, Reuters reports.
This $22.8 billion transaction involves CK Hutchison selling its port operations in Panama and other countries to U.S. and Swiss investors. The deal is seen as a strategic win for the U.S., aligning with President Trump's goal to reduce Chinese influence in the region.
BlackRock's involvement marks its largest infrastructure investment and could potentially alleviate Republican criticism of its past ESG investment strategies. The sale grants the consortium a 90% stake in Panama Ports Company, which operates key ports in Panama.
Despite the strategic importance, the U.S. State Department and other officials have not commented on the deal. Meanwhile, Panama is auditing CK Hutchison’s contract for compliance, and the country recently exited China's Belt and Road initiative.
