April 8, 2019 |
Dubai-based port operator looks for a $250m loan to pay off debt from the Callao terminal
DP World is looking to get a $250m loan to pay off debt and finance the expansion of a port terminal in Callao, Peru, LatinFinance has heard.
The Dubai-based port operator is in preliminary discussions with a few local banks and it will likely get a club loan or a bilateral loan with a tenor of five or six years, according to a source close to the deal.
The company could also get syndicated loan even if it is a relatively small deal, the source added.
DP World won a 30-year concession for the port terminal in 2006, taking on $617m in investments. The company opened the terminal in 2010 and is now expanding the berth to 960 meters from 650 meters.
DP World has expanded operations in Latin America in recent years, offering to buy Pulogsa in Chile for $503m in January and acquiring Cosmos in Peru for $316m in May last year. It also took full control of Embraport at the port of Santos in Brazil in December 2017 and signed a 50-year PPP contract for the Posorja terminal in Ecuador in May 2016. DP World financed the first phase of the $1.2bn Posorja project with a 15-year, $377m A/B loan through IDB Invest.