CMHI buys 23% stake in Djibouti port

Tuesday, 26 February 2013 00:00 - - {{hitsCtrl.values.hits}}

A Port de Djibouti S.A. (PDSA) shareholder agreement signing ceremony was held in Ministry of Finance of the Republic of Djibouti recently, just after CMHI’s indirect wholly-owned subsidiary – China Merchants Holdings (Djibouti) FZE (CM Djibouti) – entered into a share purchase agreement with Djibouti Ports & Free Zones Authority (DPFZA) to acquire 23.5 % of the issued share capital in PDSA.

Minister of Finance of the Republic of Djibouti Ilyas Moussa Dawaleh, Chairman of Djibouti Ports and Free Zones Authority Aboubaker Omar Hadi, and CMG Assistant President and CMHI Managing Director Dr. Hu Jianhua, represented The Republic of Djibouti Government Guarantor and Shareholders, respectively, signed PDSA Shareholder Agreement.

So far, all conditions precedent of share agreement have been satisfied. The share purchase agreement and shareholder agreement entered into force on 5m February 2013. Then the first session of PDSA board meeting was held in Djibouti Ports and Free Zones Authority, which marks that CMHI has formally participated in PDSA’s daily management from now on.