DP World, NIIF to invest $3 billion in ports and logistics business in India
January 22, 2018: DP World and National Investment and Infrastructure Fund (NIIF) have joined hands to form an investment platform to invest in ports, terminals, transportation and logistics businesses in India.
According to reports, the platform will invest up to $3 billion of equity to acquire assets and develop projects in the sector.
A Memorandum of Understanding (MoU) was signed in May 2017 between Sheikh Mohammed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and DP World group chairman and CEO, Sultan Ahmed bin Sulayem in February 2016.
The platform will also look at opportunities beyond sea ports, such as river ports and transportation, freight corridors, port-led special economic zones, inland container terminals, and logistics infrastructure including cold storage.
Sulayem said: 'DP World has been a part of India's growth story for nearly two decades, and we are delighted to continue our success by joining forces with a strong strategic partner%u2014NIIF. We believe that our expertise in building best-in-class logistics infrastructure along with the NIIF's local knowledge and government partnership is the right combination for significant growth opportunities in India. We are proud to partner with NIIF and share our expertise and experience in these areas and the global supply chain to provide cost effective logistics and warehousing solutions to India's growing economy and trade.'
Sujoy Bose, CEO of NIIF said: 'Efficient logistics and cargo movement are critical components for the continued growth and development of the Indian economy, and particularly the manufacturing sector. We are delighted to partner with DP World to create a platform, which will help reduce the cost of moving cargo between port and origin/destination. It's NIIF's first investment and is a good example of how NIIF can work with international capital and expertise to invest at scale to build critical infrastructure in India.'