Dubai-based terminal operator DP World has completed the acquisition of an additional 66.67% stake in Empresa Brasileira de Terminais Portuários (Embraport) in Brazil from Odebrecht Transport (OTP).
Following the transaction, DP World’s shareholding was increased to 100% and the terminal will be rebranded to DP World Santos.
The company informed that the purchase consideration is below 5% of DP World’s net asset value as of the first half of 2017 and on a pro-forma basis DP World’s net leverage would be 2.8x Net Debt to EBITDA with this transaction compared to the reported 2.6x.
DP World Santos, the largest Brazilian private multi-modal port terminal which operates in the Port of Santos, has an annual capacity of 1.2 million TEU. The first phase of the project has created 653 meters of wharf and 207,000 square meters of terminal area.
“We are delighted to fully consolidate our stake in DP World Santos and to underline our commitment to the Port of Santos and the future of trade in Brazil,” Sultan Ahmed Bin Sulayem, Group Chairman and CEO, DP World, said.
“DP World has become a major player in the South American infrastructure sector with a network of container terminals in Peru, Dominican Republic, Argentina, Ecuador and Suriname and we remain committed to our role as a global trade enabler and targeting a broader strategy to grow complementary sectors in the global supply chain,” Bin Sulayem added.
Image Courtesy: Embraport