German tourism company TUI AG has agreed to sell an 80 per cent stake in the Canadian container facility, Montreal Gateway Terminal, a unit of CP Ships, which it acquired last year, for an undisclosed sum to Morgan Stanley's infrastructure investment group, part of the bank's investment management division.

An AFX report said TUI unit Hapag-Lloyd remains a major client of Montreal Gateway Terminal through a long-term contract, which is expected to end during the first quarter.

The divestment will enable TUI to reduce net debt by around EUR300 million (US$393.6 million), the report added.

TUI pointed out that since the end of 2006 the company has sold seven containerships including a container portfolio from the CP Ships fleet to the Swedish leasing company HSH N Nordic Finance, a company of HSH Nordbank subsidiary DAL/AGV in Wiesbaden, Germany.

No amount was mentioned in the report. However, HSH Nordbank is to finance the deal and the seven containerships, including the container portfolio, will be leased to Hapag-Lloyd through a long-term agreement.