NORTH AMERICA

No shortage of interest in P&O

21 years ago

Following the political outcry in Washington over P& Os change of ownership to Dubais DP World, both trade and private equity buyers have already expressed interest in P& Os US port assets that are once more up for grabs. Some industry sources put the likely value of the company at around $680m, or 10% of the amount paid by DP World for the whole of P& O.

He blames this on the failure of port operators to respect the existing collective bargaining agreement, which has prompted some stevedores to withdraw labour.

Overseas companies that operate other terminal facilities in the US are now hoping the issue of ownership will blow over, as US lawmakers turn their attention to other matters after chalking up a significant victory over President George Bush on the P&O sale.

In a statement, DP World and P&O Ports North America had announced that offers would be assessed by reference to value, deliverability and the continuity of management, employees and customers. At the same time, discussions are to take place with port authorities, joint venture partners and labour representatives to facilitate a smooth transition of the business to a new owner, the company said. Maersk has a 50% stake in the New York/New Jersey terminal, having acquired that when it bought P&O Nedlloyd. The sale is expected to be completed in four to six months.