DUBAI, June 11 Economic Zones World (EZW), a
unit of government-owned conglomerate Dubai World,
has sold its British-based logistics firm Gazeley to Brookfield
Asset Management, sources said on Tuesday.
It is the first major sale of a foreign asset by Dubai World
as it restructures its debt. The sources, who are familiar with
the deal but declined to be named because the matter is not
public, did not reveal the price of the transaction.
EZW was not immediately available to comment. Toronto-based
Brookfield could not be contacted immediately.
Gazeley is one of four businesses held by EZW, which
operates technology, logistics and industrial parks as well as
the Jebel Ali Free Zone (JAFZA), a business district, under the
Dubai World Group umbrella.
Dubai World bought Gazeley from Wal-Mart Stores in 2008 for
an estimated 300 to 400 million pounds ($459-611 million);
because of falls in asset prices since then, the sale to
Brookfield may have occurred at a lower price.
In Dubai World's $25 billion debt restructuring deal with
banks, signed in March 2011, the company said it planned to
raise between $1.3 and $2.3 billion through the disposal of some
assets including Gazeley.
Since Dubai's corporate debt crisis of 2009-2010, the
emirate has sold assets more slowly than some bankers had hoped,
raising questions about how it will repay debt maturities
looming in the next three years.