Ports Giant P&O Agrees to $5.7 Billion Takeover

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orts operator Peninsular and Oriental Steam Navigation Co. said Tuesday it is recommending a $5.7 billion takeover bid by a Dubai-based company in a deal that would create the world's third-largest port operator, the Associated Press reported.

London-based P&O operates 29 container terminals, which generate 80% of its profits, has logistics operations in more than 100 ports and operates 26 ferries linking Britain with France, Belgium, the Netherlands, Ireland and Spain, AP said.

Dubai Ports World made the bid for P&O, AP reported.

"DP World's offer recognizes that P&O is a unique brand with an exceptional footprint of international port assets," P&O Chairman John Parker said in a statement, AP said.

The company’s headquarters will remain in London.

The Wall Street Journal reported Tuesday that global port operators in Hong Kong, Singapore, Denmark and elsewhere may consider rival bids for P&O.

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