DP World may float Australian unit in A$1bn IPO
Port operator DP World is considering a A$1 billion ($884 million, Dh3.2bn) initial public offering (IPO) by spinning off some of its Australian assets, a media report said yesterday.
DP World is one of the largest port operators and is owned by Dubai Government-linked conglomerate Dubai World, but is not included in its parent company's $26bn debt restructuring. The planned float comes as the Queensland and the New South Wales governments separately expand their ports and have facilitated the entry of Hong Kong-controlled Hutchison Ports as a third force on top of the duopoly of DP and Asciano.
DP World is expected to retain a substantial stake in the new listed entity, to be called DP Australia, the Australia Financial Review said in an unsourced report.
A DP World spokeswoman in Dubai declined to comment. DP World's Australian unit was not available for comment.
Last month, DP World said it would seek a listing on the London Stock Exchange following disappointment with its market valuation in Dubai. Shares were down three per cent at 0725 GMT.
Keep up with the latest business news from the region with the Emirates Business 24|7 daily newsletter. To subscribe to the newsletter, please click here.
Follow Emirates 24|7 on Google News.