From ports to logistics: ICTSI expands global playbook
‘ICTSI welcomes this promising partnership with the AIIB, which supports our expansion and sustainability initiatives.’
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Daily Tribune‘ICTSI welcomes this promising partnership with the AIIB, which supports our expansion and sustainability initiatives.’
RAZON
International Container Terminal Services Inc. (ICTSI) is accelerating its global growth strategy, moving beyond port operations and into integrated logistics as it invests in new businesses, expands terminal capacity and builds a larger international footprint.
The Razon-led port operator’s latest move is the acquisition of a Brazilian warehousing and multimodal logistics company, giving it a stronger presence inland as it looks to offer end-to-end supply chain solutions alongside its ports.
In a disclosure, ICTSI said its wholly-owned Brazilian subsidiary, IRB Holding Ltda., acquired 100 percent of Companhia Regional de Armazéns Gerais e Entreposto Aduaneira (CRAGEA), a São Paulo-based company that provides general and bonded warehousing as well as multimodal logistics services.
The acquisition expands ICTSI’s business beyond container terminals, allowing it to provide integrated logistics services designed to improve operational and energy efficiency through greater use of rail transport.
The company said the transaction will also help ease logistics bottlenecks, expand the hinterland of its port assets, and offer safer and more innovative logistics solutions for foreign trade customers.
The deal has been completed after all conditions precedent, including regulatory approvals, were satisfied. ICTSI said the purchase was fully paid in cash, with the transaction value amounting to less than 10 percent of the company’s consolidated shareholders’ equity as of 11 December 2025 and 31 March.
The acquisition adds another layer to ICTSI’s expansion strategy, which has increasingly focused on building an integrated transport and logistics network across its markets.
The company is also investing heavily in its core port business.
Earlier this month, ICTSI secured a $300-million loan from the Asian Infrastructure Investment Bank (AIIB) to modernize and expand three of its Philippine terminals.
The financing — the AIIB’s first non-sovereign-backed transaction in the Philippines — will fund upgrades at the Manila International Container Terminal (MICT), the South Luzon Container Terminal (SLCT) in Batangas, and the Mindanao Container Terminal (MCT).
The projects are expected to increase capacity, improve operational efficiency, and reduce vessel turnaround times. Part of the funding will also finance fully electric quay cranes and replace diesel-powered yard equipment, supporting the company’s sustainability initiatives.
AIIB president Zou Jiayi said the transaction reflects the bank’s strategy of partnering with private infrastructure operators.
“ICTSI represents exactly the type of partnership AIIB aims to build as the Bank enters its second decade.”
“This transaction demonstrates how AIIB can support infrastructure development by deploying innovative financing instruments and working closely with global operators who have the scale and execution capacity to deliver impact for the people we serve. We look forward to deepening this strategic relationship.”
ICTSI chairman and president Enrique K. Razon Jr. said the financing supports the company’s long-term plans.
“ICTSI welcomes this promising partnership with the AIIB, which supports our expansion and sustainability initiatives.”
“We value AIIB’s shared commitment to long-term value creation, inclusive economic growth, and responsible business practices, and as such, look forward to strengthening our partnership and accomplishing more together.”
The investments are expected to lift capacity across the company’s Philippine network. By 2027, MICT’s annual capacity is projected to reach 3.7 million twenty-foot equivalent units (TEUs), while MCT and SLCT are expected to handle around 1 million TEUs and 800,000 TEUs, respectively, by 2028.
The company’s expansion strategy is also translating into stronger financial results.
In the first quarter, ICTSI posted a 23 percent increase in net income attributable to equity holders to $293.57 million from $239.54 million a year earlier. Excluding a one-off charge from the sale of its Yantai terminal in China, earnings would have risen 29 percent to $308.27 million.
Revenue from port operations climbed 29 percent to $961.11 million, driven by higher cargo volumes, tariff adjustments, improved cargo mix, and stronger ancillary revenues.
Chairman and president Enrique K. Razon Jr. said the results reflect the company’s disciplined approach to growth.
“The results highlight the strength of ICTSI’s diversified portfolio and disciplined execution, anchored on efficiency, cost control, and strategic expansion.”
During the quarter, ICTSI handled 4.08 million TEUs, up 18 percent from a year earlier, supported by new terminals in South Africa and Indonesia and stronger trade across Asia and the Americas.
The company spent $117.94 million in capital expenditures during the first quarter and has earmarked about $740 million for projects this year across multiple markets, including the Philippines, Mexico and Brazil.
Operating 33 terminals in 19 countries, ICTSI has steadily expanded its presence across Latin America, Africa and Southeast Asia. Its latest investments signal a broader strategy of pairing port infrastructure with inland logistics capabilities to capture a larger share of the global supply chain.
