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On The Up: Peninsular & Orient

Saturday 27 March 1999 19:02 EST
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P&O, the shipping company, said it will sell property holdings and its construction unit Bovis to focus on cruise, ferry and ports businesses. The shares rose 18 per cent on the week. The company is expected to raise pounds 2bn from the disposals. The decision comes after P&O posted a 30 per cent drop in second-half profit as shipping tariffs fell and cut demand for the services of P&O Nedlloyd, P&O's container shipping joint venture with Royal Nedlloyd.

The company said it plans to sell shares in Bovis in the next two to three years and sell its property holdings, whose profits fell last year. P&O said it will also sell Earl's Court Olympia, London's biggest exhibition centre. It also wants to sell shares in P&O Nedlloyd.

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