Dubai Ports International (DPI), one of the world’s leading port operators, announced it has signed a definitive agreement with CSX Corporation to acquire its international terminal business and other related interests for a cash consideration of US$1.15 billion, subject to customary adjustments. This deal would include the Caucedo terminal, which is operated by CSX and is a marine hub for the Caribbean. Details on the agreement have been confirmed by DR1 and the story has not been broken in the local papers. The transaction will be financed from a committed facility arranged and underwritten by Deutsche Bank. Completion of the transaction is expected to take place in the first quarter of 2005.
CSX World Terminals is a leading international container terminal developer and operator with operations in Asia, Europe, Australia and Latin America. The company’s container terminal portfolio currently consists of interests in nine terminals with 24 berths and combined future capacity of 14.6 million 20-foot containers.
The transaction is consistent with DPI’s international growth strategy and follows successful acquisitions and management contracts in the Middle East, Europe and India. CSX acquired Sea-Land Corporation in 1987 and has, for the past several years, sold off parts of those international ocean-shipping assets. This transaction would complete that divestiture.