Dubai's DP World, the state-owned port operator selling shares to the public, expects revenue to grow 38.5 per cent during the next two years to US$1.44 billion, a banker arranging the initial public offering (IPO) said.
The world's fourth largest container-port operator will report earnings before interest, tax, depreciation and amortisation (Ebitda) of US$1.04 billion this year and US$1.2 billion next year, a document the banker gave Reuters showed.
The banker did not want to be identified.
Dubai-based Shuaa Capital, Deutsche Bank, Merrill Lynch & Co Inc and Dubai Islamic Bank are advising on the IPO, in which DP World aims to raise as much as US$3.5 billion by selling a 30 per cent stake.
DP World has refused to make forecasts for revenue or profit.
DP World, the Dubai government port owner with holdings from the UK to China, will use the money to fund expansion and honour convertible bonds sold last year, they said.
The shares would be listed on the Dubai International Financial Exchange. DP World may also sell shares in London, depending on the decision of Dubai ruler Sheikh Mohammed, reports said last month.
An IPO is one of the options 'on the table', DP World chairman Sultan bin Sulayem told reporters last month, without giving any details about the sale.
The planned offer would value the company at about US$10.5 billion, and at US$3.5 billion, the sale would follow Saudi Telecom's US$4.1 billion IPO in 2003 as the Middle East's second largest.
DP World is a member of the state-owned Dubai World group, which in August agreed to invest as much as US$5.1 billion in Las Vegas casino company MGM Mirage.
DP World, which last year bought Peninsular & Oriental (P&O) Steam Navigation for US$6.8 billion, plans to spend about US$3.5 billion on new projects over the next five years, CEO Mohammed Sharaf said in June.
The company has said that it aims to double handling capacity to 84 million 20-foot container units (TEUs) a year by 2016 to catch bigger rivals Hutchison Port Holdings and PSA International Pte.
|
