HMM said Monday it has secured stable business for Spain’s container terminal Total Terminal International Algeciras through strategic partnership with French shipping company CMA CGM.

The South Korean shipping firm said it has signed a contract to sell a 50 percent stake in Algeciras container terminal to CMA CGM.

HMM still maintains its status as the largest shareholder by holding 25 million plus one shares through a special purpose company.

Through the contract, HMM can secure profitability and stable operation while CMA CGM can expand its sales network using its strategic logistics hub, the Korean shipping firm said.

“As Algeciras terminal is close to the North African market, there is a high possibility of growth,” a HMM official said. “We will strengthen our terminal competitiveness by expanding our business network through cooperation with CMA CGM, which has strength in logistics in Africa.” 

By Shin Ji-hye (shinjh@heraldcorp.com)