(Bloomberg) -- Dubai will pay a 29% premium to acquire 19.55% of DP World Ltd. and return the port operator to private ownership as it seeks to transform to an infrastructure-led logistics provider.
DP World's parent company Port and Free Zone World will acquire the shares traded on Nasdaq Dubai for $16.75, it said in a statement on Monday. They closed at $13 on Sunday.
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“The disruption occurring in our industry throws up a number of challenges and opportunities for DP World in both the shorter and longer term,“ said Deepak Parekh, senior independent non-executive director of DP World. Delisting would give the company “greater flexibility going forward.”
Once accepted, DP World will be 100% owned by Port and Free Zone World, which in turn is a wholly-owned subsidiary of Dubai World.
DP World shares have fallen about 52% from a recent peak in January 2018.
To contact the reporter on this story: Nicolas Parasie in Dubai at nparasie1@bloomberg.net
To contact the editors responsible for this story: Stefania Bianchi at sbianchi10@bloomberg.net, Claudia Maedler
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