ABSTRACT

Terminal ownership and operation were mainly assumed by the public sector through port authorities. Simultaneously, the port and maritime industry has been subjected to increased financialization, implying that financial institutions play a growing role. Terminal operators are also more prone to selling stakes in terminal assets for financial relief while keeping their role as operators. This commonly involves a financial holding seeking an opportunity to acquire terminal assets while leaving the existing terminal operator taking care of operations. The size of the infrastructure and superstructure for terminal development adds to investment risks. All risks are well known to the industry and embedded in its business strategies. A common risk minimization strategy is to launch large terminal projects in phases, following developments in port services demand. Terminal capacity investments are very costly given their capital-intensive nature. The port terminal industry has privatized and internationalized to cope with this demand, establishing partnerships with financial institutions.