DUBAI : DP World has acquired an additional stake in DP World Australia (DPWA) from Gateway Infrastructure Investments (Gateway) and other financial investors valuing the company at an enterprise value of approximately AUD 1.4 billion (USD 997 million).

The acquisition is subject to regulatory approval and is expected to close in 1Q 2019.

Following the closure of the transaction, DP World Australia will become a consolidated entity within the DP World Group and is expected to be earnings neutral in the first full year of ownership, the port operator said.

Corsair Infrastructure Partners (CIP), the Manager of the Gateway Fund, will continue to manage a significant investment in DPWA.

“We are pleased to announce this transaction that brings DP World Australia back into our consolidated portfolio, which presents a more optimal structure to drive this business forward, while continuing our relationship with CIP as a valued partner. We remain optimistic on the growth prospects in Australia and believe there is an exciting opportunity to enhance shareholder value by further developing the container terminals operations and expanding beyond the ports into logistics services,” Sultan Ahmed Bin Sulayem, Group Chairman and CEO, DP World, said.