AD Ports Group, the operator of industrial cities and free zones in Abu Dhabi, completed the acquisition of a 70 per cent equity stake in Egypt's International Associated Cargo Carrier (IACC) for Dh514 million ($140m) as part of its international expansion.
The deal means the Abu Dhabi company now has majority stakes in IACC's portfolio of Egyptian maritime companies, Transmar International Shipping Company and Transcargo International (TCI), it said in a statement on Wednesday to the Abu Dhabi Securities Exchange, where its shares are traded.
The deal, first announced in July, completes AD Ports Group's first international acquisition.
"Together, Transmar and TCI are on track to deliver revenue and Ebitda [earnings before interest, tax, depreciation and amortisation] of around $137m and $65m, respectively, for full-year 2022," AD Ports Group said.
Transmar is a container shipping company that operates across the Middle East, Red Sea, Arabian Gulf and east coast of Africa. In 2021, Transmar handled 109,000 twenty foot equivalent units (TEUs).
TCI is a terminal operator and stevedoring — cargo loading and offloading — company, mainly operating at Adabiya Port for container and bulk cargo services. TCI handled 92,500 TEUs and 1.2 million tonnes of bulk cargo last year.
"The El Ahwal family and the executive team will remain in management of the companies and deliver the strategic growth plans under the guidance and support of the board and in conjunction with AD Ports Group," the company said.
Established in 2006, AD Ports Group owns and operates 10 ports in the UAE, including Khalifa Port, Zayed Port, Mussaffah Port, Fujairah Terminals, Community Ports, Kamsar Port and the Abu Dhabi Cruise Terminal, as well as a terminal in Guinea.
It also manages more than 550 square kilometres of industrial zones and an end-to-end logistics business, besides offering a range of maritime services.
AD Ports Group, which made its debut on the ADX in February after raising Dh4 billion from its share sale, is seeking to expand its operations globally.
Last month, it signed a preliminary agreement with India's Adani Ports to explore joint investment opportunities in Tanzania.
It is also collaborating with Hong Kong-based Hutchison Ports to identify business opportunities in feedering, logistics and port activities across the GCC, Africa and Asia in the maritime and logistics sector.
The company has signed agreements to develop logistics and food trading projects in Uzbekistan, and a partnership with the Aqaba Development Corporation to develop tourism, logistics, transport and digital infrastructure in the Jordanian coastal city.
It also plans to expand its presence in Egypt and, in partnership with the Egyptian Group for Multipurpose Terminals, is developing and operating a multipurpose terminal at Safaga Port on the Red Sea.