Maersk, the world's largest container shipping line, is set to take a bigger stake of the South Asia Gateway Terminals (SAGT) in Sri Lanka's Colombo port.
“DP World is going to pull out of SAGT and sell its stake to AP Moller-Maersk,” said a senior Colombo port official.
SAGT is Colombo's privatized transshipment facility and Maersk is Colombo's biggest customer, moving cargo through the SAGT and the state-owned Jaya Container Terminal.
The latest move comes on the back of acquisitions where Maersk and DP World gained indirect shareholdings in the SAGT.
Maersk parent AP Moller-Maersk bought over P&O Nedlloyd in 2005 and DP World acquired P&O Ports in 2006. Both P&O Nedlloyd and P&O Ports were original shareholders in the SAGT, with P&O Nedlloyd owning 10% and P&O Ports owning 16.25%. Currently John Keells Holdings is the dominant shareholder of SAGT. Industry sources believe that DP World is pulling out of Colombo to focus on its operations in India.
“DP World is going to pull out of SAGT and sell its stake to AP Moller-Maersk,” said a senior Colombo port official.
SAGT is Colombo's privatized transshipment facility and Maersk is Colombo's biggest customer, moving cargo through the SAGT and the state-owned Jaya Container Terminal.
The latest move comes on the back of acquisitions where Maersk and DP World gained indirect shareholdings in the SAGT.
Maersk parent AP Moller-Maersk bought over P&O Nedlloyd in 2005 and DP World acquired P&O Ports in 2006. Both P&O Nedlloyd and P&O Ports were original shareholders in the SAGT, with P&O Nedlloyd owning 10% and P&O Ports owning 16.25%. Currently John Keells Holdings is the dominant shareholder of SAGT. Industry sources believe that DP World is pulling out of Colombo to focus on its operations in India.