DP World

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Coordinates: 24°59′N 55°05′E / 24.983°N 55.083°E / 24.983; 55.083

DP World

Type	Government-owned corporation, Subsidiary
Founded	2005
Headquarters	Dubai, United Arab Emirates
Key people	Mohammed Sharaf (CEO) Anil Wats (COO) Vijay Sharma (Finance)
Industry	Transport
Products	Ferries, port services, logistics services
Revenue	▲ $- USD
Employees	30000
Parent	Dubai World
Website	www.dpworld.com

DP World, a subsidiary of Dubai World, is a major operator of marine ports with 49 terminals in operation and a further 12 under development handling 46.8 million TEU in 2008. It employs 30,000 people, operates in 31 countries and expects to double capacity in 10 years with development projects in India, China and the Middle East.

The company was founded in 2005 by merging Dubai Ports Authority and Dubai Ports International (which had been founded in 1999). It purchased Peninsular and Oriental Steam Navigation Company (P&O) of the United Kingdom in 2006 for £3.9 billion ($7 billion), which was at the time the world's fourth largest ports operator. Shares representing 23% of the company were floated on the NASDAQ Dubai stock exchange in 2007. The company does not currently operate in the United States where its purchase of a number US ports led to high level controversy.

Contents 1 History 2 Port security controversy 3 Gwadar Port 4 Locations of DP World's operations 5 References 6 External links

[edit] History

DP World was created in 2005 by a merger between the Dubai Ports Authority (DPA) and an Dubai Ports International (DPI) which had been founded in 1999.^[1] It purchased CSX World Terminals (CSX WT) in 2005 and the then Peninsular and Oriental Steam Navigation Company (P&O) of the United Kingdom in March 2006 for £3.9 billion ($7 billion). P&O was at the time the fourth largest ports operator in the world.

The ownership of various US ports (acquired as part of the P&O deal) by a middle-east based business was seen as highly controversial by many in the US even though it was supported by the US president of the time (George W. Bush); the US ports were sold shortly afterwards.

In June 2007 the company raised $3.25 billion in Islamic and conventional bond sales to refinance existing debt and fund expansion^[2] and issued 3.818 billion shares, representing 23% of the company on the NASDAQ Dubai stock exchange in November 2007 in what was the Middle East's largest initial public offering (IPO) which raised 4.96 billion dollars.^[3]

By 2008 the company was handing 46.8 million TEU worldwide, up 8% on 2007, with expansion and development projects in India, China and the Middle East and elsewhere. Capacity was expected to rise to around 95 million TEU over the next ten years.^[1]

In December 2009 Moody's downgraded DP World's financial status to 'junk' after the Dubai 2009 debt standstill.^[4]

In January 2010, the company announced its intention to seek a share listing on the London Stock Exchange in the second quarter of 2010.^[5]

[edit] Port security controversy

P&O operated major U.S. port facilities in New York, New Jersey, Philadelphia, Baltimore, New Orleans, and Miami. After the deal was secured, the arrangement was reviewed by the Committee on Foreign Investment in the United States headed by the U.S. Treasury Department and including the Departments of State, Commerce, and Homeland Security. It was given the green light, but soon after, both Democratic and Republican members of Congress expressed concern over the potential negative impact the deal would have on port security.

On February 22, 2006, President George W. Bush threatened to veto any legislation passed by Congress to block the deal, which would be the first time in his presidency he would exercise the privilege. In a statement to reporters, Bush claimed, "It would send a terrible signal to friends and allies not to let this transaction go through."^[6] On February 23, 2006, DP World volunteered to postpone its takeover of significant operations at the seaports and on March 9, 2006, is said that it would transfer its operations of American ports to a "U.S. entity".^[7]

The United States House of Representatives held a vote on March 16, 2006 on legislation that would have blocked the DP World deal, with 348 members voting for blocking the deal, and 71 voting against.^[8] DPs World later sold P&O's American operations to American International Group's asset management division, Global Investment Group for an undisclosed sum.^[9]

[edit] Gwadar Port

Chairman of DP World, Sultan Ahmed bin Sulayem, who met President Pervez Musharraf on May 5, 2006, expressed an interest for management of facilities at Gwadar deep sea port and development of infrastructure in the southern port city and elsewhere in Pakistan.^{[citation needed]} Gwadar was subsequently awarded to PSA, (Port of Singapore Authority) who now manages the facility.

[edit] Locations of DP World's operations

DP World operates 49 terminals with 12 new developments across 31 countries and employs 30,000 people^[10] The company additionally has logistics offices in London and the UAE.^{[citation needed]}

Africa

• Djibouti
  • Doraleh Container Terminal - under development^[11]
  • Port of Djibouti^[12]
• Mozambique - Maputo Container Terminal at the Port of Maputo, operated by Port Maputo^[13]
• Senegal
  • Port du Futur - under development^[14]
  • Terminal à Conteneur at the Port of Dakar - under development^[14]

Americas

• Argentina - Terminals 1 and 2 in Puerto Nuevo (Buenos Aires)^[15]
• Canada - Centerm at the Port of Vancouver^[16]
• Dominican Republic - Puerto Caucedo^[17]
• Peru - Port of Callao - under development^[18]
• Venezuela - Puerto Cabello^[19]

Asia

• China
  • Hong Kong
    • ATL Logistics Centre Hong Kong in Kwai Chung Port^[20]
    • Terminal 3 in Kwai Chung Port^[21]
    • Terminal 8 West in Kwai Chung Port (in operation with Asia Container Terminals)^[22]
  • Qingdao - Qingdao Qianwan Container Terminal - undergoing expansion^[23][24]
  • Shanghai - Shanghai Ji Fa^[25]
  • Shenzhen - ATL Logistics Centre Yantian^[26]
  • Tianjin^[27]
  • Yantai - Terminal Facilities at the Port of Yantai^[28]
• India
  • Chennai - Chennai Container Terminal at Chennai Port^[29]
  • Kochi
    • India Gateway Terminal^[30]
    • Container terminal at Vallarpadam - under development^[31]
  • Kulpi - under development^[32]
  • Mundra - Mundra International Container Terminal^[33]
  • Nhava Sheva - Nhava Sheva International Container Terminal^[34]
  • Visakhapatnam - Vizag Port^[35]
• Pakistan - Qasim International Container Terminal at Port Qasim (Karachi) - undergoing expansion^[36][37]
• Russia - Vostochny Port^[38]
• Saudi Arabia
  • Jeddah Seaport^[39]
  • KAEC Port - under development
• South Korea - Pusan^[40]
• Turkey - Yarmica - under development^[41]
• Vietnam - Ho Chi Minh City - Saigon Premier Container Terminal - under development^[42]
• United Arab Emirates
  • Abu Dhabi
    • Mina Zayed^[43]
    • Port Khalifa - under development^[44]
  • Dubai
    • Jebel Ali Port^[45]
    • Port Rashid^[46]
  • Fujairah - Fujairah Port^[47]

Europe

• Belgium
  • Antwerp - Port of Antwerp^[48]
  • Churchill Dock^[49]
• France
  • Le Havre - Port of Le Havre^[50]
  • Marseille
    • Marseille Port^[51]
    • Fos - under development^[52]
• Germany - Germersheim^[53]
• Netherlands - Rotterdam - Maasvlakte 2 - under development^[54]
• Romania - Constanţa - Constanţa South Container Terminal ^[55]
• United Kingdom
  • London Gateway - under development^[56]
  • Southampton - Southampton Container Terminals^[57]
  • Port of Tilbury - Tilbury Container Services^[58]

Oceania

• Australia
  • Adelaide - Port Adelaide^[59]
  • Brisbane - Port of Brisbane^[60]
  • Fremantle - Port of Fremantle^[61]
  • Melbourne - Port of Melbourne^[62]
  • Sydney - Port Botany^[63]

[edit] References

[edit] External links

• DP World - Global
• DP World — Dubai
• DP World - Karachi
• BBC story on takeover of P&O
• Republican Congresswoman Sue Myrick's letter to President Bush regarding the DP World ports purchase
• SourceWatch article on DP World
• President's Weekly Radio Address
• Dubai Ports World eyes Gwadar in Pakistan