French PE firm Galaxy SARL pulls out of Nova Scotia CT project

LEADING bidders to establish a C$200 million (US$191.7 million) container terminal in Sydney, Nova Scotia, have lost a major financial backer after Galaxy SARL, a French private equity fund, withdrew after taking a hit in the recession.

In May, the French venture capitalists announced they would join with the Sydney Marine Group to develop a world class shipping terminal in Sydney, reported The Cape Breton Post.

CBC News reported Galaxy will still have an interest in the project, but it will "no longer have the exclusive right to develop the facility."

The Sydney Marine Group is seeking other investors to have the container terminal in operation by 2012. In January, the group will welcome a delegation from Delaware Bay. Meanwhile, a request for bids has been issued for the dredging the outer channel of Sydney harbour. Bidding closes January 31.

The C$35 million project will deepen the 8.5-kilometre entrance channel to allow postpanamax containerships access to the harbour. The contract is expected to be awarded by March.

(Source: www.schednet.com)