Dubai Ports completes takeover of CSX World Terminals

Dubai Ports completes takeover of CSX World Terminals

   Dubai Ports International said Tuesday it has completed the acquisition of CSX World Terminals for $1.1 billion.

   Dubai Ports and CSX Corp. the former parent company of CSX World Terminals, announced a sale agreement in December for CSX's international terminal business, which was also the group’s only remaining port and maritime activity.

   Dubai Ports said the conclusion of this transaction means it is now “one of the world’s top six operators.” It already had operations in the Middle East, Africa, Europe and India. The acquisition of CSX World Terminals will give it a strong presence in Asia for the first time. These activities include terminals in Hong Kong, Tianjin and Yantai in China, as well as operations in Australia, Germany, Dominican Republic and Venezuela.

   The port business of Dubai Ports now comprises interests in 15 operational terminals in 13 locations, with a capacity in excess of 24 million TEUs, the Middle East-based group said.

   “Importantly for the future development and expansion of the network, Dubai Ports International has acquired the (CSX) company’s strong pipeline of development projects,” it said. These include a 25-percent interest in a project for a large terminal complex called Pusan Newport, in South Korea, with a capacity of 5.5 million TEUs.

   Dubai Ports has financed the acquisition of CSX World Terminals with a $1.45-billion loan arranged by Deutsche Bank.