RIYADH: Saudi Arabia’s Public Investment Fund (PIF) has bought a 20 percent equity stake in the Red Sea Gateway Terminal Limited (RSGT) company, a privately owned independent terminal operator.
The deal was approved by RSGT’s founding shareholders and handled through Sound Joyce Enterprises Limited, a wholly owned subsidiary of PIF.
RGST also signed a second agreement for Cosco Shipping Ports Limited to buy a 20 percent stake.
The total value of the deals was $280 million, which gives RSGT a value of around $880 million. The transactions will require approval from the Saudi Arabian Ports Authority.
“As the largest terminal operator on the Red Sea and in Saudi Arabia, we are committed to serving the growing requirements of international cargo and container services throughout the global logistics chain and to fulfilling our customers’ needs and the goals of Saudi Arabia’s Vision 2030 program for infrastructure and port development,” said RSGT’s CEO Jens O. Floe.
RSGT was founded and began operation in 2009 and will remain an independent terminal operator, focused on servicing its existing and future customers in the global logistics chain.
