DP World ready to invest up to $2 bln in Russian port sector, creates JV with RDIF
DAVOS Jan 21 (Interfax) - The Russian Direct Investment Fund (RDIF) and leading global port operator DP World (UAE) have announced creation of a joint venture to carry out investment in port, transport and logistics infrastructure in Russia, an Interfax correspondent reported from the agreement signing ceremony.
RDIF will have a 20% interest in the JV and DP World will have 80%. The JV, DP World Russia, will focus its investment activity on seaports and transportation-logistical terminals in various Russian regions, the companies said in a joint statement.
DP World Russia's may invest up to $2 billion in Russian port infrastructure.
"Russia has always been an attractive origin and destination market for us with huge long term growth prospects," DP World Chairman Sultan Ahmed Bin Sulayem is quoted in the statement as saying.
DP World has a portfolio of more than 60 marine terminals across six continents. Container handling is the company's core business.
"This is the first deal with a Middle Eastern strategic investor for RDIF. We have previously enjoyed good success with the leading sovereign funds in the Middle East and DP World is the first strategic investor to bring not just money but expertise," RDIF chief Kirill Dmitriev told Interfax.
Against the challenging economic backdrop, it is vitally important that the investors are interested in investing in port infrastructure, Dmitriev said.
RDIF plans to step up work with European strategic investors in the next few months, he said. "We see a certain understanding has come about that Europe is more open to cooperation with Russia," he said.