DP World 2010 revenue seen at $3.1bn
Dubai, August 26, 2010
Port operator DP World's 2010 revenue is seen at $3.1 billion and earnings before interest, tax, depreciation and amortisation (EBITDA) at $1.1 billion, a Dubai World document showed, based on analyst forecasts.
Parent company Dubai World does not see any DP World dividend payments to banks until 2016 when a dividend of $182 million is expected but will pay dividends to shareholders before then, the restructuring document said.
Indebted conglomerate Dubai World is prepared to sell its prized assets, including previously ringfenced DP World, in a bid to raise as much as $19.4 billion to repay creditors, the document obtained by Reuters showed.
As of December 2009, DP World's total debt stood at $8 billion.
'DP World and Economic Zones World are the group's most cash generative assets, however operating company debt severely restricts cash flow available to Dubai World,' the document said.
DP World shares remained unchanged in early trade on Nasdaq Dubai. Dubai World owns a 77 percent stake in the ports company, which plans a London listing in mid-2011.
DP World, one of the world's largest port operators, is arguably the biggest trophy in Dubai World's cabinet. 'DP World itself remains a strategic asset for the government of Dubai,' EFG Hermes said in a note on Thursday. 'We do not envisage a scenario where Dubai World sells its stake to below 50 percent, given the importance of DP World to the Dubai economy.' - Reuters
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