FORD
10-20-2006, 09:36 AM
DP World rings bell for second round in sale of US port assets
Robert Wright, London
13sep06
DUBAI'S DP World was due to start overnight a second round of bidding for its US port assets, with Morgan Stanley, Carlyle Group and SSA Marine all among the last few bidders in the highly politicised sale.
The three companies are among five or six bidders weeded out from among hundreds of potential buyers thought to have expressed at least some interest in the business, according to a person familiar with the process.
State-owned DP World announced the sale of its US port assets in March in the face of a political furore over its purchase of the businesses as part of its pound stg. 3.92 billion ($9.7 billion) takeover of P&O, the British-based container terminal and ferry operator. There had been security concerns about whether it was wise to allow an Arab company to control US port operating businesses.
The operations include companies operating container terminals at five US eastern seaboard ports and various other cargo and passenger-handling facilities. They include the Port Newark Container Terminal at New Jersey.
The three bidders known to have reached the next round include one representative of each of the main classes of potential buyers - Morgan Stanley operates an infrastructure investment fund; Carlyle Group runs private equity funds; and SSA Marine, the largest US-based container terminal operator, is a trade buyer. Meantime SSA Marine, which had put itself up for sale earlier this year to capitalise on the high prices being commanded by port assets, has called off the sale because of concerns among the controlling Hemingway family over the best direction for the privately held company.
It is not clear when the sale process for the P&O US assets will be completed, although negotiations are likely to be intense and relatively speedy because they involve such a small number of bidders.
The former P&O assets are among the largest blocks of port assets to have come up for sale in the US, although the US port assets of Hong Kong's Orient Overseas Container Line are also now up for sale.
It's a MURDOCH story, so don't "liberal media" me, goddamn it. (http://theaustralian.news.com.au/printpage/0,5942,20400647,00.html)
Robert Wright, London
13sep06
DUBAI'S DP World was due to start overnight a second round of bidding for its US port assets, with Morgan Stanley, Carlyle Group and SSA Marine all among the last few bidders in the highly politicised sale.
The three companies are among five or six bidders weeded out from among hundreds of potential buyers thought to have expressed at least some interest in the business, according to a person familiar with the process.
State-owned DP World announced the sale of its US port assets in March in the face of a political furore over its purchase of the businesses as part of its pound stg. 3.92 billion ($9.7 billion) takeover of P&O, the British-based container terminal and ferry operator. There had been security concerns about whether it was wise to allow an Arab company to control US port operating businesses.
The operations include companies operating container terminals at five US eastern seaboard ports and various other cargo and passenger-handling facilities. They include the Port Newark Container Terminal at New Jersey.
The three bidders known to have reached the next round include one representative of each of the main classes of potential buyers - Morgan Stanley operates an infrastructure investment fund; Carlyle Group runs private equity funds; and SSA Marine, the largest US-based container terminal operator, is a trade buyer. Meantime SSA Marine, which had put itself up for sale earlier this year to capitalise on the high prices being commanded by port assets, has called off the sale because of concerns among the controlling Hemingway family over the best direction for the privately held company.
It is not clear when the sale process for the P&O US assets will be completed, although negotiations are likely to be intense and relatively speedy because they involve such a small number of bidders.
The former P&O assets are among the largest blocks of port assets to have come up for sale in the US, although the US port assets of Hong Kong's Orient Overseas Container Line are also now up for sale.
It's a MURDOCH story, so don't "liberal media" me, goddamn it. (http://theaustralian.news.com.au/printpage/0,5942,20400647,00.html)