DPW Could Continue to Hold 49% of the Company Managing Our Port Security

On Thursday, Dubai Ports World, the state-owned company which had acquired five US port terminal facilities as part of its $6.8bn purchase of P&O, was ordered by the ruler of Dubai to divest the ports in the face of congressional opposition.

That may not be enough to end the controversy, however. A person close to the deal said last night that DP World would not necessarily sell all of its interest in P&O’s US assets and could retain as much as 49 per cent.

Meanwhile, the Republican-controlled House of Representatives said it would still go ahead with a vote next week to force the company to divest.

A list of potential buyers is thought to have been drawn up, including New York’s Maher Terminals, Eller & Co of Miami and private equity companies Blackstone and Carlyle Group. The company is talking to the Treasury department about ensuring that the deal is not done too quickly in order to allow a reasonable price to be raised.

http://news.ft.com/cms/s/007970e0-b053-11da-a142-0000779e2340.html

Should prove interesting, Georgie going around speechifying for points while this thing keeps biting him on the ass.

interlocking directorate with Carlyle they would be in control of the whole thing.

...the liability and operating debt. The parent company-- DPW in this instance-- will make most of the profit. This could actually be made into a pretty sweet deal for DPW.

too poor return on investments.

Other countries have been effectively subsidizing U.S. ports infrastructure for the last
2 decades, just as they have been holding our debts. There is no basis for arrogance on our part IMHO.