Cisco Holding Subsidiary Secures Contract for Operating and Developing Container Terminal in Bangladesh Worth SAR 637.5 Million

Sustained Infrastructure Holding Company (SISCO Holding) (formerly known as Saudi Industrial Services Company) announced today Wednesday that its portfolio company Red Sea Gateway Terminal International Limited (in which SISCO owns 36.36% through its investment vehicle Red Sea Ports Development International Limited) has signed a 22-year concession with the Chittagong Port Authority for Patenga Container Terminal (PCT) in Chittagong, Bangladesh’s primary port, to develop a comprehensive long-term plan for a container terminal.

In a statement on Tadawul, the company will develop and operate a 500,000-TEU facility and the contract is expected to be USD 170 million (SAR 637.5 million) within the contract’s 22-year term.

Terms of the concession require RSGTI to commit SAR 637.5 mln to consolidate and develop the already existing infrastructure as a first phase to increase the total capacity to 500,000 TEUs.

The financial impact of the new concession on SISCO Holding’s consolidated financial statements is expected to be reflected in 2024.

This concession marks a pivotal change in RSGT’s overarching strategy to expand its presence in the global ports sector, elevating it to a multi-port operator. The company is currently engaged in advanced negotiations with several selected international ports as part of its expansion plan.