AD Ports Group has acquired an additional 30 percent equity stake valued at $300 million (AED 1.1 billion) in one of its most strategic assets, Global Feeder Shipping (GFS), raising its holding to 81 percent.
In February 2024, AD Ports Group acquired a 51 percent stake in Dubai-based GFS, the world’s fourth-largest container feeder shipping line by capacity, with a call option to increase its ownership by December 2026.
The Group has now exercised this call option at the same total Enterprise Value of $1 billion (AED 3.67 billion) set in 2024. The acquisition will be funded through a mix of debt and asset monetization transactions.
AD Ports Group’s container feeder shipping business, which involves the transport of goods using small and medium-sized vessels between major transit hubs and smaller ports, has grown rapidly since its initial launch in 2020.
GFS is among the Group’s most strategically significant assets. Through a sustained period of maritime disruption, GFS has maintained and expanded trade connectivity where other operators withdrew, ensuring the uninterrupted flow of cargo for customers across the GCC region, whilst serving the Indian Subcontinent, Red Sea, Far East, Mediterranean, and Africa regions, reinforcing AD Ports Group’s role as a reliable enabler of trade through volatility.
Captain Mohamed Juma Al Shamisi MD and Group CEO AD Ports Group
“Through the acquisition of an additional 30 percent stake in Global Feeder Shipping, AD Ports Group is reaffirming its commitment to investing in one of the most important and high-performing assets within our integrated business portfolio. GFS has expanded our reach into new markets and brought us closer to our customers, connecting our ports to more economies across the Red Sea and the Gulf at a time when reliable trade connectivity matters most. Our increased ownership in GFS allows us to deepen its integration within the Group’s portfolio and enables further growth across our shipping business. We will now be in a stronger position to accelerate AD Ports journey to enable trade for our stakeholders, in line with the vision of our wise leadership.”
Amir Maghami, CEO of Global Feeder Shipping, said that, “Today marks an important step for GFS as we become more closely integrated into AD Ports Group, reinforcing the strength of our partnership. While the shipping industry continues to adapt to volatile market conditions, AD Ports Group’s support has enabled us to steadily expand our services and grow our fleet. Staying flexible and keeping customers at the center of what we do has always been our priority, and I am excited to build on this momentum as we broaden our network and deliver even greater value in the months and years ahead.”
According to the statement, the increase in ownership to 81 percent reinforces AD Ports Group’s cash flow generation and provides greater strategic and operational control over this core asset, enabling deeper integration with the Group’s ports, economic cities and logistics operations. This will further strengthen the end-to-end trade and logistics solutions AD Ports Group offers to customers worldwide.
