Following DP World’s announcement that it would offload the US assets that are part of its P&O purchase, DP World and P&O Ports North America have announced details of the process by which all of the businesses will be sold to an unrelated US buyer.
The White House must be heaving a sigh of relief. [Refer DP World gets Bush off the hook]
Preparation of financial, corporate and legal information required for the sale has commenced.
Interested parties will be furnished with information on the business and invited to make offers. Offers will be assessed by reference to value, deliverability and the continuity of management, employees and customers.
In parallel with this sale process, discussions will take place with port authorities, joint venture partners and labour representatives to facilitate a smooth transition of the business to a new owner.
An expedited sale process is underway, and, with the co-operation of the port authorities and joint venture partners, it is expected that a sale can be agreed within four to six months.
Until the sale is completed, P&O Ports North America will be operated independently from DP World in accordance with the Hold Separate Commitment announced on February 26, 2006.
The sale process will be supervised by executives from P&O’s group head office in London. The New York office of Deutsche Bank Securities has been mandated as financial adviser for the sale of the whole of P&O Ports North America. New York law firm Sullivan & Cromwell has been appointed as legal advisers for the sale, with the Washington, DC office of Alston & Bird assisting on regulatory matters.
