Ports operator seeking long term finance for London scheme
Dubai’s DP World is in talks with several banks regarding the financing of its $2.5bn London Gateway Port and Logistics Park.
The funding talks are based on a debt package of $1.6bn, made up of a $826m syndicated loan and the rest from multilateral funding agencies, such as development banks.
Banks have been asked to submit funding proposals to DP World by the end of October. Sources involved in the process say these responses will then be used to help structure the debt on the project.
DP World is keen to secure long-term funding for the development, but may have to offer banks a high interest rate to secure the loans.
The plans for the London Gateway project include a port with capacity for 3.5 million 20-foot equivalent units (TEUs).
DP World recently completed the financing for the $139m first stage of the expansion for the port at Senegal. The company will seek a further $430m in 2010 (MEED 04:10:09).
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