DP World has bought the world’s largest container feeder company in a deal worth €660m ($765m).
The Dubai-based firm said it had acquired 100% of Unifeeder Group, a Denmark-based firm that connects around 100 ports across Europe.
Sultan Ahmed bin Sulayem, group chairman and CEO of DP World, said the move was in response to a growing demand for better connectivity between hub terminals.
“The ever-growing deployment of ultra-large container vessels has made high-quality connectivity from hub terminals crucial for our customers and Unifeeder is a best-in-class logistics provider in this space with a strong reputation in Europe,” he said.
He added the move was part of the firm’s strategy to expand into complementary sectors of the ports and shipping industry and would allow it to “strengthen [its] product offering and play a wider role in the global supply chain as a trade enabler”.
Container feeders facilitate the movement of containers between ports and container terminals, where they are loaded onto larger ships for onward shipping or onto trains or lorries to be taken over land. A feeder ship is generally smaller vessels that carry between 100 to 1,000 standard 20 ft equivalent units, compared to 21,000 on an ultra-large vessel.
Unifeeder was previously majority-owned by Nordic Capital Fund VIII.
☛ Want to stay up to date with the news? Sign up to our daily bulletin.