DP World sells US operations to American entity

Dubai: Dubai Ports World finally clinched its takeover of P&O yesterday, as the stock in the British-based company was delisted.

The company also announced that it would transfer US port operations to "a United States entity" to preserve bilateral relations, according to a statement yesterday by US Senator John Warner.

The deal makes DP World the world's third-largest port operator, with 51 terminals in 30 countries, including the six ports in the United States that have provoked a firestorm of controversy.

"A review of our operations in the United States continues and we look forward to a timely resolution of any issues. We will continue to hold our US operations separate while this process continues," said Mohammad Sharaf, CEO of DP World, in a statement.

Legislation in the US House of Representatives to block the takeover of the US ports will be voted on next week as lawmakers from both parties fight President George W. Bush over the deal's approval.

The Dubai-owned company, which has already overcome a US firm's attempt to block the deal in the UK courts, will still wait 45 days to take over the US ports so that officials there can reevaluate security issues.

Meanwhile, the Dubai company says that it is still looking to grow. "The combined business allows us to offer our customers an enhanced global network of top quality terminal services," said Sultan Bin Sulayem, chairman of DP World. "It will form the base for further growth over time. We are committed to expanding and investing in the future."