The deal implied an enterprise value of US$ 880mn for RSGT
Seatrade Maritime Awards cited the 20% equity share sales to Saudi Arabia’s PIF and COSCO Shipping Ports as ‘the most significant deal in the maritime industry over the past 12 months’ in the Maritime Industry, in the Middle East, Indian Subcontinent & Africa, it was recently announced.
Dubai, UAE- Red Sea Gateway Terminal (RSGT) was honored for the 2021 ‘Regional Deal of the Year’, at the annual Seatrade Maritime Awards ceremony, in Dubai, for the Middle East, Indian Subcontinent & Africa.
It may be recalled that in July of 2021, RSGT announced the formal approvals and completions of 20% equity share sales to both the Saudi Arabian Public Investment Fund (PIF), and Hong Kong-based COSCO Shipping Ports Limited (CSPL).
With the deal’s successful conclusion, RSGT’s founding shareholders reduced their combined majority and controlling shareholding to 60%. The deal implied an enterprise value of US$ 880mn for RSGT.
”This past year RSGT welcomed as new investors one of the world’s largest container shipping and terminal operating companies, as well as one of the world’s largest sovereign investment funds,” affirmed Jens Floe, CEO.
“At the same time we were continuing our focus on operational excellence and geographic growth both in Saudi and internationally,” he added.
Red Sea Gateway Terminal (RSGT), located at Jeddah Islamic Port, is a world-class terminal spearheaded by the Saudi Industrial Services group SISCO, is the first privately funded BOT (Build Operate and Transfer) development project in Saudi Arabia.
RSGT began operations in December 2009, and currently handles approximately 3mn TEU annually. Annual container throughput capacity at RSGT will have grown to 5.2mn TEU by the end of 2023, with plans underway to expand to 9mn TEU by 2030.
The facility can currently accommodate next-generation container ships of up to 23,000+ TEU-class capacity, making it the only terminal at JIP designed for the next generation of Ultra-Large Container Ships.