The High Court in Durban dismissed APM Terminals BV’s challenge to the award of a 25-year development contract at Durban Container Terminal 2 (DCT2) to Razon-led International Container Terminal Services Inc. (ICTSI), ruling that state-run Transnet acted fairly and transparently.
“ICTSI welcomes the court’s ruling and reaffirms its commitment to delivering long-term value and operational excellence at the Durban Container Terminal 2 (DCT2) in close partnership with Transnet,” the company said in a stock exchange filing on Monday.
The decision ends a bitter dispute after Razon accused Maersk Group, APM’s parent, of using court maneuvers to block South Africa’s port privatization program despite ICTSI’s $100-million higher bid.
Razon had warned that the prolonged legal fight was discouraging private investment and stalling modernization at Durban’s main terminal, which handles nearly half of the country’s port traffic.
“The company will provide further updates to the Exchange regarding next steps as soon as it receives formal guidance from Transnet on the way forward,” ICTSI said on Monday.
—Edited by Miguel R. Camus
