DP World sells stake in container services firm

DP World sells stake in container services firm

DP World, the world's third-largest port operator, sold its 34 percent stake in UK-based Tilbury Container Services Ltd for $75.48 million, it said in a statement on Thursday.

January 26, 2012 1:54 by Reuters

The port operator sold the stake in the deep-sea container services firm to a subsidiary of Otter Ports Holdings Ltd, owner of Forth Ports Limited, it said in a statement on the Nasdaq Dubai website.

Tilbury, a key shipping and distribution port access to London and the South East of England, is now fully owned by Otter Port Holdings Ltd following a similar transaction with its other owner Associated British Ports, the statement said.

DP World, one of the more profitable assets of debt-laden Dubai World, said third-quarter gross volumes were 14.4 million twenty-foot equivalent container units (TEU), according to a statement. This was up 10 percent from 13.1 million TEU in the year-earlier period.

DP World warned in October of tough conditions for its customers in 2012, but said it would achieve throughput growth of more than 7 percent in the year.

The company had earlier this month signed a three-year agreement to operate the Nanaimo port in Vancouver, Canada, including the general cargo Duke Point facility and Assembly Wharf a company statement said on Wednesday.

It also listed in London in June last year, but this move has done little to boost liquidity in the stock, with the London listing on average trading less than 35,000 shares per day.

Shares of DP World closed 2 percent higher on the Nasdaq Dubai bourse Wednesday. *image from arabiansupplychain.com