A deal has been secured by Dubai-based port and terminal operator DP World to offload 45% of its Canadian container terminal stakes.
Canadian company Caisse de dépôt et placement du Québec (CDPQ) will acquire a 45% stake in two terminals, Vancouver and Prince Rupert, for a fee of USD $655 million.
The stake sale comes after it an announcement last December (2016) that DP World and CDPQ had partnered to create an investment vehicle worth $3.7 billion. The platform will have “a focus on investment-grade countries” excluding the United Arab Emirates, and will invest mostly in existing assets but with up to 25 percent in Greenfield opportunities, DP World said.
Commenting on the investment vehicle, Sultan Ahmed Bin Sulayem, Group Chairman and CEO, DP World, said, “As a global trade enabler, DP World is proud to announce the partnership with CDPQ to invest in growth opportunities in port and terminal businesses around the world.
The investment platform, worth USD 3.7 billion, with DP World having a 55% share and CDPQ the remaining 45%, will invest in the assets across their lifecycle, with a focus on investment grade countries.
The investment and terminal stake transition was subject to a number of customary regulatory approvals, but this news confirms the acquisition.