DP World, Hassana invest $2.4 bln in port operator’s UAE assets

The agreement signing ceremony 

DP World and Hassana Investment Co. (HIC), the investment manager of the General Organization of Social Insurance (GOSI), announced investing nearly $2.4 billion (SAR 9 billion – AED 8.8 billion) in three UAE assets of the port operator.

This investment is the second tranche of selling DP World’s minority stakes in Mina Jebel Ali, Jebel Ali Free Zone and the National Industries Park. This follows the successful closure of the first tranche in June 2022.

HIC will inject about $2.4 billion in investment in a new joint venture with DP World and will hold an interest of nearly 10.2% in the three UAE assets. The total investment value of these assets is expected to near $23 billion.

The three combined assets represent a world-class integrated ecosystem for the supply and logistics chains of over 9,000 companies from around the world, serving more than 3.5 billion people globally. They generated pro-forma 2021 revenue of $1.9 billion.

The transaction closed on Dec. 19. The three assets will remain fully consolidated with DP World, with no impact on its daily operations, services providers and employees.

Under the move, HIC seeks to boost its investment portfolio with infrastructure assets of global high performance and a strong track record. This investment will build on its strategy that aims to invest in vital infrastructure assets across the region with sustainable, long-term returns, Saad Al-Fadly, CEO of HIC, said.

HIC’s business growth is predicted to continue in the future, backed by favorable demographic factors, growth in regional economies and mega investments. The company adopts a long-term strategy that is regularly updated with regard to its asset management. It aims to aggrandize returns on its investments pursuant to a reasonable risk level, Al-Fadly added.