Rail and port operator Asciano has finalised its acquisition of New Zealand ports and stevedoring operator C3 for a reported $55.3 million.

 

The announcement will see Asciano acquire the Port of Tauranga, making C3 a fully owned subsidiary of the company following the completion of the sale at the end of the year.

 

C3 operates in 14 ports across New Zealand, as well as providing forestry services in three ports in Australia.

 

“We are very pleased to be in a position to acquire the outstanding 50% interest in what is a strategic asset for our Bulk & Automotive Port Services division. This acquisition delivers us a leading position in the New Zealand port services market and the opportunity to drive cross fertilisation benefits, leveraging the skills and experience of both C3 and our Australian businesses,” Asciano’s CEO John Mullen said.

 

“The Bulk & Automotive Port Services division has undergone a significant restructure of its activities over the last two years to focus on higher margin value added activities. The benefits of this program are evidenced in the 45% EBIT growth reported by the division in FY12. This acquisition will provide new opportunities to expand the division’s activities and drive further growth.