Singapore’s PSA is being linked with a potential takeover of Poland’s largest port-container terminal for more than EUR 1bn ($1.1bn).
It is acting as part of consortium of investors, which also comprised IFM Investors and the Polish Development Fund, is looking to buy DCT Gdansk, reports The Wall Street Journal.
The terminal is currently owned by the infrastructure investment arm of Australian finance giant Macquarie. A deal could be announced as early as this week.
DCT Gdansk, which began operations in 2007, has the capacity to handle 3m-teu per annum.
For PSA and investment in DCT Gdansk would expands its footprint in Europe where it already has operations in Belgium, Italy, Portugal and Turkey.
Last week Macquarie reached a deal to sell its 36% interest in Brussels Airport to a group of investors including Swiss Life, Queensland Investment Corp and APG, a pension fund asset manager.
Ports, toll-roads, airports and other infrastructure assets don’t typically generate the outsize returns that are expected from more traditional private-equity investments, the Wall Street Journal said.
But they are attractive to pension funds, sovereign wealth and other institutional investors because of the recurring revenue they generate that moves higher with inflation.
Macquarie was reported to have put the terminal up for sale back in December 2018, with the help of Goldman Sachs, Reuters reported at the time.
TradeWinds has contacted the PSA for comment, but had yet to hear back from them at the time of publication.
