CDPQ acquires 45% of DP World Chile

Caisse de dépôt et placement du Québec (CDPQ), through its investment platform with DP World Ltd., has acquired a 45% interest in DP World Chile, which operates terminals in Puerto Central and Puerto Lirquen.

Located in San Antonio and Gran Concepción, the terminals serve Chile’s main consumption and industrial centres.

Two years ago, CDPQ partnered with DP World to create a US $3.7-billion platform to invest in ports and terminals globally. DP World holds 55% of the platform and CDPQ holds the remaining 45%.

In April 2019, DP World acquired 99.2% of the issued share capital of Puertos y Logística S.A. (now DP World Chile) via a tender offer process from Minera Valparaiso and the Matte Group and other shareholders for approximately US $502 million. CDPQ’s investment will be executed at the same price as DP World’s acquisition of the asset.

The DP World group’s investment in DP World Chile now forms part of its platform with CDPQ and therefore CDPQ indirectly holds 44.64% of DP World Chile.

The two new assets in Chile join a portfolio of ports, which includes terminals in Vancouver and Prince Rupert in Canada, that are already owned by the platform.

photo credit: DP World Chile

News Release

CDPQ and DP World expand their investment platform

INFRASTRUCTURE
MONTRÉAL, MAY 15, 2019

Caisse de dépôt et placement du Québec (CDPQ), a long term institutional investor, through its investment platform with DP World, announced the acquisition of a 45% interest in DP World Chile, which operates terminals in Puerto Central and Puerto Lirquen. Located in San Antonio and Gran Concepción, the terminals serve Chile’s main consumption and industrial centres. The transaction will be executed at the same price as DP World’s acquisition of the asset in April 2019.

Two years ago, CDPQ partnered with DP World to create a US$3.7-billion platform to invest in ports and terminals globally. DP World holds 55% of the platform and CDPQ holds the remaining 45%. The two new assets in Chile join a portfolio of ports, which includes terminals in Vancouver and Prince Rupert in Canada, that are already owned by the platform.

“This is our first infrastructure acquisition in Chile and our first Latin American ports. It marks an important step in the growth of our platform with DP World and aligns well with its geographic diversification objective,” stated Emmanuel Jaclot, Executive Vice-President and Head of Infrastructure at CDPQ. “We are delighted to continue working alongside DP World, a strategic partner for CDPQ that has a long track record in the port business and provides us with access to high-quality investment opportunities.”

Background
In April 2019, DP World acquired 99.2% of the issued share capital of Puertos y Logística S.A. (“DP World Chile”) via a tender offer process. The DP World group’s investment in DP World Chile now forms part of its platform with CDPQ and therefore CDPQ indirectly holds 44.64% of DP World Chile.

ABOUT CAISSE DE DÉPÔT ET PLACEMENT DU QUÉBEC
Caisse de dépôt et placement du Québec (CDPQ) is a long-term institutional investor that manages funds primarily for public and parapublic pension and insurance plans. As at December 31, 2018, it held CA309.5 billion in net assets. As one of Canada’s leading institutional fund managers, CDPQ invests globally in major financial markets, private equity, infrastructure, real estate and private debt. For more information, visit cdpq.com, follow us on Twitter @LaCDPQ or consult our Facebook or LinkedIn pages.

ABOUT DP WORLD
DP World is a leading enabler of global trade and an integral part of the supply chain.

We operate multiple yet related businesses – from marine and inland terminals, maritime services, logistics and ancillary services, to technology-driven trade solutions.

Our portfolio of 78 operating marine and inland terminals is supported by more than 50 related businesses in over 40 countries across six continents, with a significant presence in both high-growth and mature markets. We aim to be essential to the bright future of global trade, ensuring that everything we do contributes positively and sustainably to both the economy and society.

Our dedicated team of more than 46,000 employees from 120 countries cultivates long-standing relationships with governments, shipping lines, importers and exporters, communities, and many other important constituents of the global supply chain, providing quality value-added services today and tomorrow.

Container handling is the company’s core business and generates more than 50% of its revenue. In 2018, DP World handled 71.4 million TEU (twenty-foot equivalent units) across our portfolio. With its committed pipeline of developments and expansions, the current gross capacity of 91.2 million TEU is expected to rise in line with market demand.

By thinking ahead, foreseeing change and innovating, DP World aims to create the most productive, efficient and safe trade solutions globally.

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For more information
MEDIA CONTACT
+1 514 847-5493
medias@cdpq.com

Ted Liu

Ted Liu, M.Sc. (Mining, Queen's), MBA (Finance, Toronto), is the Editor of Private Capital Journal, CanadaMetals.ca, TechWire.ca, and the former Editor of Canadian Private Equity. Ted has been passionately tracking Canadian private capital industry since 1992, having most recently served as Research Director for The Canadian Venture Capital and Private Equity Association (CVCA).

Ted is the architect of CVCA infobase, and is the architect of CPE Media's Financings.ca, Canada's most sophisticated and advanced all private capital and public market financing database.