DUBAI: Dubai government-controlled DP World on Wednesday said it had moved into the Egyptian maritime market for the first time, buying a 90 percent stake in a container port operator for $670 million.
DP World, one of the world s largest container port operators, said in a statement it had acquired a controlling stake in Egyptian Container Handling Company (ECHCO), which in turn is the controlling shareholder of a firm which operates the Port of Sokhna.
The booming Gulf emirate of Dubai, which is a member of the UAE federation, is aggressively expanding its global holdings.
Government-controlled or backed firms and investment funds from Dubai have chased strategic targets such as European aerospace giant EADS, owner of Airbus, in which Dubai International Capital bought a 3.12 percent stake.
They have also sought to a acquire brand names such as Barneys New York retail chain, which Istithmar, another investment arm of the emirate, wrested from a rival Japanese bidder.
DP World chairman Sultan bin Sulayem said in the statement the Port of Sokhna had considerable potential.
The port serves Cairo…and is also situated directly on the main East-West arterial trade route at the southern entrance to the Suez Canal, he said.
DP World acquired British shipping giant P and O last year for $6.9 billion.
