DP World growth strategy


DP World, a company born in Dubai in 1972, had a strong expansion. Last year it managed to acquire several ports in different parts of the world, although it has had a special focus on South America and India.

The year just ended has been critical for Dubai Port's port logistics operator, DP World, which on Saturday evening announced a takeover offer to hold 100% of Ports and Logistics after an agreement with the Matte group, owner of 71% of that company. Although it is unclear what the Angelini group, which has 23% of the company, will do, it is likely that it will also leave its participation, since in 2017 they tried to do so.

The special thing for 2018 for the Arab company is that it has triggered a new stage in its growth, with a strong emphasis on India, Europe, among other areas of the world.

According to a corporate presentation, the company has implemented a strategy of being a local operator in Dubai since 1972 to become a regional operator (between 1994 and 2004) and since 2005 with the strong purpose of being a global player.

Today, the company is one of the five largest port operators in the world, with an estimated market share of 9.2%, according to the cargo movements of 2017. This, after China Cosco Shipping (12.2% of the total ). Hutchinson Port Holdings (11%), APM Terminals (10.2%) and PSA International (9.9%), according to its corporate presentation.

Today DP World manages 78 terminals on six continents and has eight new developments and expansions in progress. The company said it has a focus of expansion in developing countries. Therefore, it has assumed a strong presence in countries like India, but also in Peru, Ecuador and Brazil.

Between 2013 and 2017, for example, it consolidated a 100% stake in the port of Santos, Brazil, and received a 50-year concession in the multipurpose port project in Posorja, Ecuador, where the first phase considers US investments. $ 500 million and will be ready within the next 24 months.

In Peru, they have one of the sites in Puerto del Callao and in March last year they acquired a maritime and logistics services company to complement their offer, which also had a presence of 50% in the Port of Paita, the second terminal in importance country.

In the first half of 2018, it had revenues of US $ 2,626 million, an increase of 14.4% over the same period of 2017. Its adjusted Ebitda was US $ 1,322 million, which explains why the company indicated that it will finance the operation You'll see Chile arrive with funds from your own balance.

Its level of indebtedness is 2.9 times the net debt in relation to adjusted Ebitda. By 2018, it planned to invest about $ 1.4 billion.


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