SANTIAGO – Dubai-based international port operator DP World has announced the purchase of 71.3% stake in Chile’s Puertos y Logistica (Pulogsa) (PUE.SN) from Minera Valparaiso and other shareholders associated with the Matte Group.

DP World will pay 502 million dollars for 100 percent equity ownership of the South American port services firm, a statement said. The agreement allows the Dubai firm to serve its customers in five key points of South America, said the president and CEO of DP World Group, Sultan Ahmed bin Sulayem, in the note.

DP World is excited to further expand in South America, with an agreement to acquire a 71.3% stake in Chile ports company Puertos y Logistica. This will allow us to serve cargo owners and shipping lines at five key gateways on the west coast of South America. pic.twitter.com/jfWA6ICcGI

— DP World (@DP_World) January 13, 2019

The agreement is dependent on a tender to acquire all outstanding shares of Santiago stock exchange listed Pulogsa.

Pulogsa operates a long-term concession for Puerto Central in San Antonio and owns and operates Puerto Lirquen in Chile’s south.

DP World, one of the world’s largest port operators, said that Pulogsa had net financial debt of $226 million as of September 30 and that the transaction was expected to close in the first half of the year.

It also said it expected the deal to be “earnings accretive in the first full year of consolidation” and would be financed from existing balance resources.

DP World, one of the largest port operators in the world, is present on six continents. Its majority shareholder is the state-owned investment fund Dubai World.

DP World, controlled in turn by Dubai World, has 78 terminals in the world, including Muelle Sur in Puerto de Callao in Peru, Terminals Rio de La Plata in Buenos Aires and Santos Port in Brazil. It has a large presence in Asia (China, India, Pakistan, Saudi Arabia, South Korea, Turkey, Vietnam, United Arab Emirates), Europe (Belgium, Spain, France, Germany, the Netherlands, Romania and the United Kingdom), Africa and Australia.

With several of these countries, Chile has a growing commercial exchange.

Cruise vessels allowed to operate along smaller Chilean ports