Shanghai International Port (SHA:600018) has agreed with Shanghai Tongseng Investment to terminate its entrusted operation and management agreement for the Phase IV Terminal in China's Yangshan Deep-Water Port Area, according to a Friday filing on the Shanghai Stock Exchange.
The decision to terminate was reached after transaction volumes over the past 12 months failed to reach 230 million yuan or exceed 5% of the absolute value of the port operator's latest net assets.
Moving forward, the Phase IV Terminal will transition from entrusted management to a lease arrangement.
Tongseng Group will return the 500 million yuan performance security deposit.