DP World to acquire Canadian container terminal
Fairview is a purpose built terminal with a sea-rail link and has a current capacity of 850,000 TEU
DP World Limited has agreement to acquire Maher Terminal’s Fairview Container Terminal (Fairview) in Prince Rupert, British Columbia, Canada from Deutsche Bank.
Fairview is a purpose built terminal with a sea-rail link and has a current capacity of 850,000 TEU (twenty-foot equivalent container units), with a just-announced phase two expansion that will take capacity to 1.35 million TEU.
The concession period runs to 2034 with an extension to 2056 after the completion of phase two.
Total consideration payable is CAD580 million (US$457 million*) for the total outstanding stock of Fairview on a cash-free, debt-free basis.
The completion of the transaction is subject to applicable Canadian regulatory approvals and is expected to occur in the second half of 2015.
DP World Limited has been a significant investor in Canada, as operator of the CENTERM terminal in Port Metro Vancouver.
Mohammed Sharaf, Group Chief Executive Officer, DP World, said: “Fairview Container Terminal offers the fastest access for vessels traveling between Asia and North America. The terminal also offers the highest productivity rates on the West Coast and an efficient rail link to the hinterland. The long-term concession and ability to build beyond the current phase 2 of expansion presents a fantastic opportunity for DP World.
“We are delighted to announce this transaction and look forward to further enhancing the port’s operations under DP World management.”