DP World to Buy Canada’s Fairview Container Terminal
DP World Limited has announced its agreement to acquire Maher Terminal’s Fairview Container Terminal (Fairview) in Prince Rupert, British Columbia, Canada from Deutsche Bank. Fairview presents growth opportunity in a market with attractive and growing demand.
Fairview is a purpose built terminal with an efficient sea-rail link and has a current capacity of 850,000 TEU (twenty-foot equivalent container units), with a just-announced Phase 2 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 2.
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.”
Total consideration payable is C$580 million (US$457 million) for the total outstanding stock of Fairview on a cash-free, debt-free basis (subject to customary adjustments). The completion of the transaction is subject to applicable Canadian regulatory approvals and is expected to occur in the second half of 2015.