ICTSI seeks $300-M AIIB loan for terminal upgrades

RAZON-LED International Container Terminal Services Inc. (ICTSI) is seeking a $300-million (around P17.7-billion) loan from the Asian Infrastructure Investment Bank (AIIB), a multilateral development bank, to fund the expansion and upgrade of its Philippine port terminals.

According to a document uploaded by AIIB on Jan. 22, the proposed financing is a “non-sovereign-backed financing of up to $300-million senior unsecured corporate loan” to ICTSI.

The document said the loan “will support capital expenditure (capex) plan for ICTSI terminals located in the Philippines.”

The project is currently “under preparation,” with AIIB estimating financing approval by March 23, 2026.

The AIIB document outlined the expected outcomes of the project, including increased annual container throughput at Bauan International Port (BIPI) and Mindanao International Container Port (MICP), improved berth productivity at both terminals, and reductions in greenhouse gas (GHG) emissions.

The project also aims to expand container handling capacity across BIPI, MICP, and Manila International Container Terminal (MICT), introduce electric ship-to-shore cranes at MICT, and promote gender diversity by increasing the proportion of women among newly hired port staff at BIPI and MICP.

The document also noted that ICTSI “has existing Global Environmental, Social, and Governance (ESG) Policy to manage E&S risks and impacts of its operations in all terminals and subsidiaries across the jurisdictions in which it operates,” and that site-specific environmental and social assessments have been prepared for its capex facilities.

ICTSI operates 34 terminals across 20 economies and is one of the country’s leading port operators. The company is also constructing the $800-million South Luzon Container Terminal in Bauan, Batangas, which is projected to begin commercial operations by 2028.

For the first nine months of 2025, ICTSI posted an attributable net income of $751.56 million, up 18.8% from $632.58 million a year earlier, driven by higher cargo volumes and improved port revenues.

The company attributed the growth to tariff adjustments, increased volumes with a favorable container mix, and higher ancillary revenues from selected terminals.

On Friday, shares of ICTSI fell P7, or 1.11%, to close at P623. — A.R.A. Inosante