BlackRock to buy Panama Canal ports for $23B after Trump pressure

US investment company BlackRock agreed to buy two major ports on the Panama Canal from Hong Kong-based CK Hutchison for $22.8 billion.

The move comes after pressure from US President Donald Trump over alleged Chinese influence on the vital shipping route.

The group will acquire a 90% stake in the company that owns and operates the two ports in Panama.

Trump frequently alleged, “China is running the Panama Canal”, and rattled Panama when he threatened earlier this year to “take it back” under American control.

In a statement, CK Hutchison said this transaction is the result of a rapid, discrete, but competitive process in which numerous bids and expressions of interest were received.

"I would like to stress that the transaction is purely commercial in nature and wholly unrelated to recent political news reports concerning the Panama Ports," said CK Hutchison Co-Managing Director Frank Sixt.

As part of the deal, the consortium led by BlackRock will acquire CK Hutchison's controlling stake in 43 other ports across 23 countries.