DP World agreed to sell its remaining stake in container services firm P&O Trans Australia (POTA) for A$106 million, the port operator’s second sale in Australia in the last five months.
DP World will sell the stake to Qube Logistics , the two companies said in separate statements.
The deal, which consists of the purchase of DP World’s shares and related loans, is expected to be completed by the end of April and will provide Qube with a 94.5 percent stake in POTA with management owning the remaining 5.5 percent, Qube said.
Last year, DP World said it planned to sell its Australian operations to private equity firm Citi Infrastructure Investors (CII) in a deal worth $1.5 billion as it tried to reduce its debts.
DP World - considered one of the more profitable units of debt-laden Dubai World - said in January that it was under no pressure from the Dubai government to sell its assets in for debt repayments.
Dubai is estimated to have liabilities of about $115 billion, with some $30 billion in bonds and loans owed by state-linked firms slated to mature in 2011-2012.
Stakes in assets such as DP World, Emirates Airlines and Dubai Electricity and Water Authority (DEWA) are attracting keen interest from potential investors.
DP World first acquired POTA’s 86 ports in 2006, according to POTA’s website. The company sold a controlling stake in POTA, a provider of container services transport, in 2007 to a consortium headed by industry leaders including Chris Corrigan, who serves as chairman of Qube’s Investment Advisory Committee. (Reuters)