DP World sells stake in Jeddah Islamic Port to APM Terminals

DUBAI - Global ports and logistics giant DP World sold on Wednesday a minority stake in the Southern Container Terminal (SCT) at Jeddah Islamic Port in Saudi Arabia to APM Terminals, a subsidiary of Danish shipping leader A.P. Moller-Maersk. 

The transaction establishes a strategic partnership that strengthens the terminal's position as a key Red Sea trade hub.

Under the agreement, APM Terminals acquires a 37.5% minority stake in the facility, while DP World retains a 62.5% majority shareholding and continues to lead day-to-day operations. Financial terms of the deal were not disclosed.

DP World has been a major player at Jeddah Islamic Port for over two decades, initially entering in 2001 and securing a 30-year Build-Operate-Transfer (BOT) concession for the Southern Container Terminal in 2019. Since then, the company has invested heavily in modernization, including a recent SAR 3 billion (approximately $800 million) upgrade that more than doubled the terminal's capacity.

Yuvraj Narayan, Group CEO of DP World, highlighted the importance of the market, saying that “Saudi Arabia is a strategic market for DP World, and Jeddah Islamic Port has been central to our growth in the Kingdom for more than two decades. Since securing the concession in 2019, we have transformed the Southern Container Terminal into a modern, high-capacity gateway, further strengthening Jeddah’s position as a leading Red Sea hub in support of Saudi Arabia’s Vision 2030.”

The partnership brings together complementary strengths from two of the world's leading terminal operators. It enhances long-term collaboration, improves operational efficiency, and bolsters the terminal's role as a vital gateway for Saudi Arabia's imports and exports, connecting trade flows between Asia, Europe, and Africa.

Keith Svendsen, CEO of APM Terminals, described the move as a strategic step.

“Jeddah is one of the region’s most important trade corridors. This investment secures long-term access to quality infrastructure and strengthens our ability to support customers with reliable, scalable capacity in the kingdom,” said Svendsen.

The deal marks APM Terminals' entry into the Saudi Arabian port market and adds another major carrier-linked investor to Jeddah's facilities, alongside existing stakes held by entities like COSCO in other terminals.

Jeddah Islamic Port remains one of Saudi Arabia's busiest and most strategic maritime gateways, supporting the Kingdom's ambitious economic diversification goals under Vision 2030. The transaction reflects growing cross-border cooperation in the global logistics sector, even amid regional geopolitical dynamics between the UAE (DP World's home base) and Saudi Arabia.

The partnership is expected to drive further capacity growth, attract more international trade, and improve supply chain resilience in the Red Sea region by combining DP World's operational expertise with Maersk's extensive shipping network,