DP World is nearing a deal to buy Cargo Services Far East Limited from Hong Kong tycoon John Lau, people familiar with the matter said, a move that would give the Dubai port operator a bigger footprint in Asia.
The companies are finalising the details of a transaction that could be announced as early as in the coming days, the people said, asking not to be identified because the matter is private. A potential deal could be valued at $300 million to $400m, depending on composition of the assets, the people said.
Founded in 1989 by Lau, Cargo Services Far East’s businesses include ocean and freight shipping, cold chain logistics and fashion distribution, according to its website. The Hong Kong-based company has offices in China, the UK, South Africa, the US and Singapore.
Lau’s empire includes a majority stake in Hong Kong-listed CN Logistics International Limited, which he is also chairman and executive director of. The stock has dropped 31 per cent in the past 12 months, valuing the company at $212m.