Business | Shipping
Dubai World to expand business in Asia
Dubai World, which last year bought two Singapore-based shipyards, is looking to further expand its marine engineering and fabrication business in Asia with potential acquisitions in China, India, Thailand and Vietnam.
- By Shakir Husain, Staff Reporter
- Published: 00:00 October 18, 2008
- Image Credit: Supplied picture
- Dubai World chairman Bin Sulayem with Drydocks World chief executive officer Geoff Taylor at the Nanindah shipyard on the Indonesian island of Batam near Singapore.
Batam, Indonesia: Dubai World, which last year bought two Singapore-based shipyards, is looking to further expand its marine engineering and fabrication business in Asia with potential acquisitions in China, India, Thailand and Vietnam.
Drydocks World, the group's shipyard business unit, is exploring several opportunities in those countries, Dubai World Chairman Sultan Ahmad Bin Sulayem told reporters during a tour of the company's facilities in Indonesia and Singapore.
He said the group sees good business opportunities in the ship engineering and manufacturing sector despite a global economic slowdown. Drydocks World, which operates Dubai Drydocks, made its first major foreign acquisition last year when it took over Singapore's Pan United Marine Limited and later Labroy Marine Limited. The two companies operated shipyards in Singapore and the nearby Batam Island of Indonesia.
Drydocks World Southeast Asia is expected to generate $1.5 billion in revenues and the group's Dubai business will fetch $1 billion in revenues this year, he said.
Having consolidated its Southeast Asian operations under the regional unit, the company has been hunting for more ventures with focus on ship repair, rig manufacturing, vessel conversion and new ship manufacturing businesses in Asia.
"We are expanding into new areas. We are holding negotiations in China, Thailand, Vietnam and India," Bin Sulayem said.
Drydocks World's sister company DP World already operates container terminals in the four countries where the company aims to enter the shipyard business.
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