https://arab.news/buf2e
RIYADH: Global investment group CDPQ has entered into an agreement to invest $5 billion in three of DP World’s flagship UAE assets, including Jebel Ali Port, the Jebel Ali Free Zone, and the National Industries Park.
The Quebec pension fund company will invest $2.5 billion in these three assets through a new joint venture in which it will hold 22 percent stake, while the remaining fund will be financed by debt, the company said in a press release.
Other long-term investors will have the opportunity to acquire an additional stake of up to $3 billion, it added.
“We believe this new partnership will enhance our assets and allow us to capture the significant growth potential of the wider region,” Chairman and CEO at DP World, Sultan Ahmed Bin Sulayem, said in a statement.
The first tranche of the transaction — $5 billion — is expected to close in the second or third quarter of 2022, while the second tranche -up to $3 billion- is estimated to close during the fourth quarter.
"The transaction also achieves our objective of reducing DP World’s net leverage to below 4x Net Debt to EBITDA. This has been achieved despite the challenges of the pandemic and recent global economic conditions,” he added.