Strategic investment extends AD Ports Group’s presence in the Red Sea
AD Ports Group recently announced that it has reached an agreement to acquire a 70 percent equity stake in International Associated Cargo Carriers which owns two Egypt-based maritime companies, Transmar International Shipping Company and Transcargo International.
The total purchase consideration (Enterprise Value) of this transaction amounts to AED 514mn (US$ 140mn). The acquisition will be fully funded from AD Ports Group’s existing cash reserves. It is the first international acquisition realised by AD Ports Group.
Transmar is a regional container shipping company that operates across the Middle East, Red Sea, Arabian Gulf and Eastern Coast of Africa. In 2021, Transmar handled 109,000 TEUs.
TCI is a terminal operator and stevedoring company, mainly operating out of the Adabiya Port, where it is the exclusive container operator. Its two lines of business are container and bulk cargo services. In 2021, TCI handled 92,500 TEUs and 1.2mn tonnes of bulk cargos.
“This acquisition will support our wider growth targets for North Africa and the Gulf region and broaden the portfolio of services we are able to offer in those markets,” stated Falah Mohammed Al Ahbabi, Chairman, AD Ports Group.
“Egypt and the Red Sea coast are increasingly important parts of our global maritime offering, and we believe we are well-placed,” remarked Captain Mohamed Juma Al Shamisi, Managing Director and Group CEO, AD Ports Group.