DP World to delist, return to state ownership
Topics: DP WORLD
DP World operates ports around the world, from Hong Kong to Buenos Aires, and is headquartered at its flagship Jebel Ali Port in Dubai, the Middle East's biggest transhipment hub.
Port and Free Zone World, a wholly owned subsidiary of state investment vehicle Dubai World, is to acquire the 19.55% of shares listed on the Nasdaq Dubai, according to a stock filing.
Port and Free Zone World already owns 80.45% of ordinary share capital of DP World.
Each listed share will be acquired for $16.75, a 28.8% premium on Sunday's closing price of $13 a share.
Port and Free Zone World will finance the transaction in new facilities arranged by Citibank and Deutsche Bank, the filing said.
Port and Free Zone World will also provide $5.15 billion in funds to Dubai World, helping it meet outstanding obligations to lenders so that DP World can implement its strategy without restrictions, it said. ■