DP World faces Shreyas shareholder opposition to acquisition

Dubai-based port operator DP World is facing trouble with the minority shareholders of Shreyas Shipping who have objected to the port giant’s proposal to acquire the cargo and logistics businesses of Shreyas, The Economic Times reports.

The news outlet cites people close to the matter informing them that the shareholders have asked for a reversal of the transactions in representations made to Shreyas’s independent directors citing corporate governance violations.

The stakeholders claimed that there are alleged conflicts of interest as the Ramakrishnan family, the promoters of Shreyas, are getting a 17% stake in the DP World unit that is acquiring the businesses from Shreyas.

DP World moved to buy the Shreyas business in August after the acquisition of another two feeder operators, Unifeeder and Feedertech, in recent years.