Ambitious Abu Dhabi-listed AD Ports Group is spending $800m on Dubai rival Global Feeder Shipping (GFS) to form the world’s largest independent feeder line.
The group said it will acquire an 80% stake in GFS, boosting its services globally.
The deal implies an enterprise value for GFS of $1bn.
AD Ports is funding the takeover through a new loan.
“This earnings and value-accretive strategic investment significantly broadens AD Ports Group’s global feeder shipping footprint and contributes to its long-term strategy to become one of the world’s premier short-sea and feeder shipping players,” the buyer said.
