Cade prepares to approve Maersk and MSC deal for Santos port auction

The technical area of Brazil's Administrative Council for Economic Defense (Cade) is set to approve a reorganization agreement between shipping giants Maersk and MSC. The deal is designed to allow both companies to participate in the upcoming auction for the Tecon Santos 10 terminal in the Port of Santos.

Currently, Maersk and MSC are equal partners in Brasil Terminal Portuário (BTP). Under the proposed arrangement, if Maersk wins the Tecon Santos 10 auction, MSC will acquire Maersk's share in BTP. Conversely, if MSC wins the auction, Maersk will take full control of BTP. This structure aims to ensure both companies remain eligible for the new terminal auction without maintaining simultaneous joint operations at BTP.

The Philippine operator International Container Terminal Services Inc. (ICTSI) has attempted to block the companies from the auction and requested to be admitted as a third party in the proceedings. However, Cade is expected to reject ICTSI's request. While the technical area is prepared to give its approval, the decision could still be referred to the Cade Tribunal if a council member requests a review within 15 days.