DP World has bought the remaining stake in its UK-based terminal DP World Southampton and extended the licence agreement for another 25 years until 2047, the Dubai-based port operator said on Monday.
DP World, one of the world’s biggest port operators, will buy the remaining 49 per cent stake from the UK operator Associated British Ports for an undisclosed sum, DP World said in a statement.
"Through full ownership of DP World Southampton, we will now be able to combine with DP World London Gateway, the newest deep-sea container terminal and logistics park at the heart of the UK's biggest consumer markets, to offer our customers the best possible service and long term growth in the UK," said the chairman Sultan bin Sulayem in the statement.
DP World Southampton has a capacity of 2.1 million twenty foot-equivalent units (TEUs).
The £1.5 billion (Dh8.52bn) DP World London Gateway, which will have a capacity of 3.5 million TEUs when fully developed, started operations in November 2013 and currently has a capacity of 1.6 million TEUs.
DP World posted a 2.5 per cent increase in container volumes in the first nine months of this year, a slower pace than in the first half because of weak global economic growth, but in line with expectations. DP World warned in August that profit would moderate in the second half because of weak global economic growth.
DP World has posted a 22 per cent increase in net profit to Dh405 million in the first half of this year compared with a year earlier.
The company plans to boost capacity at its 65-plus ports to 85 million TEUs by the end of this year, from 76 million TEUs.
DP World is targeting 100 million TEU of capacity by 2020, depending on market conditions.
dalsaadi@thenational.ae
Follow The National's Business section on Twitter
