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ABU DHABI / WAM
AD Ports Group completed the acquisition of a 70 percent equity stake in Transmar International Shipping Company (Transmar) and Transcargo International S.A.E. (TCI).
The total purchase consideration (Enterprise Value) for 70% shareholding amounts to AED514 million (US$140 million). It is the first international acquisition realised by AD Ports Group.
The value-accretive acquisitions of the two Egypt-based maritime companies – the first international acquisitions by the company – provide AD Ports Group with a market-leading platform for further growth in container, cargo and port operations in Egypt, North Africa and Gulf regions, and along the entire Red Sea.
AD Ports Group has expanded its global footprint significantly over the past year, announcing a series of new investments and partnerships in markets on key trade routes for the UAE including Jordan, Uzbekistan, Tanzania and Egypt.
Transmar is a regional container shipping company that operates across the Middle East, Red Sea, Arabian Gulf and Eastern Coast of Africa. Ports along its routes include Adabiya and Sokhna in Egypt; Jeddah, Jubail and Dammam in the Kingdom of Saudi Arabia; Aqaba in Jordan; Port Sudan in Sudan; and Djibouti in Djibouti, Khalifa Port and Jebel Ali in the UAE. It has special capabilities for handling petrochemical products, which make up a significant proportion of trade along these routes.
TCI is a terminal operator and stevedoring company that specialises in project cargo handling, heavy lift, breakbulk, industrial breakbulk, general cargo and container handling, as well as warehousing and storage facilities. It owns and operates a fleet of modern stevedoring equipment and has a strong focus on terminal operations in Adabiya Port, which is one of the main ports serving the Egyptian Red Sea region. TCI is the largest operator and sole container operator in Adabiya Port, holding a significant market share of handling and stevedoring services.
Together, Transmar and TCI are on track to deliver revenue and EBITDA of around US$137 million and US$ 65 million, respectively, for full-year 2022.