Adani buys Shapoorji’s Odisha port in £308 mn deal

Wednesday 03rd April 2024 06:58 EDT

Adani Ports will buy Shapoorji Pallonji Group’s Gopalpur Port in Odisha for an enterprise value of £308 million, adding to its pan-India network and enhancing its cargo volume.

In addition to the enterprise value, there is a contingent consideration of £27 mn to be payable after 5.5 years, subject to fulfilment of certain conditions as agreed with the sellers, Adani Ports said. Adani Ports will buy 56% in Gopalpur Port, which has a capacity to handle 20 million metric tonnes annually, from SP and 39% from Orissa Stevedores. The remaining 5% will continue to be held by Orissa Stevedores, a source said.

Gopalpur Port is estimated to have an operating profit of £23.2 mn and a revenue of £52 mn in fiscal 2024. The Odisha government had awarded a 30-year concession to Gopalpur Port in 2006, with the provision of two extensions of 10 years each.

Raises stake in Ambuja Cements

The Adani family, the promoter of Ambuja Cements, announced an infusion of £666.1 mn, increasing its stake by 3.6 per cent to attain 66.7 per cent holding in the country's second largest cement company. With this, promoters have infused £1.16 bn in Ambuja post acquisition, giving Ambuja capital flexibility for accelerated growth, capital management initiatives and best-in-class balance sheet strength to accomplish its various strategic initiatives, the statement said.

"The additional investment will fortify the company's financial position, providing it with enhanced capabilities to pursue its ambitious growth plans and capitalize on emerging opportunities in the market," it said.

comments powered by Disqus

to the free, weekly Asian Voice email newsletter