Dubai-based DP World has entered into agreements to acquire Maritime World, owner of Dubai Maritime City (DMC), and Drydocks World for $405m, the company said in a statement on 18 September.
The Maritime World transaction is valued at $180m while the Drydocks deal will require a capital injection of $225m
DMC is an industrial business zone that hosts maritime service facilities. It is located on a man-made peninsula in central Dubai and adjacent to Port Rashid, which is operated by DP World.
Drydocks World specialises in ship repair business and is understood to have the largest ship repair yard in the Middle East. The business delivers stable ship and rig repair revenues and has specialist capabilities in niche ship newbuilds and conversions.
Drydocks will be integrated into P&O Maritime (POM), DP World’s maritime services subsidiary.
Both acquisitions are subject to certain conditions, including in the case of the Drydocks World acquisition, the successful completion of its debt restructuring process.
Both transactions are expected to close before the end of the first quarter of 2018.
Since the acquisitions are considered related party transactions under the Dubai Financial Services Authority (DFSA) Market Rules, DP World will also comply with the relevant requirements of DFSA.