In March this year, the company had announced the acquisition of Windy Lakeside Investment's (an affiliate of Warburg Pincus) 31.5% stake in Gangavaram Port (GPL). The acquisition was valued at Rs 1,954 crore and it would expand APSEZ's market share to 30% across 12 locations in India.
GPL is located in the northern part of Andhra Pradesh next to Vizag Port. It is the second largest non-major port in Andhra Pradesh with a 64 MMT capacity established under concession from Government of Andhra Pradesh (GoAP) that extends till 2059. It is an all-weather, deep water, multi-purpose port capable of handling fully laden super cape size vessels of upto 200,000 DWT.
Currently, GPL operates 9 berths and has free hold land of approximately 1,800 acres. With a master plan capacity for 250 MMTPA with 31 berths, GPL has sufficient headroom to support future growth.
GPL handles a diverse mix of dry and bulk commodities including coal, iron ore, fertilizer, limestone, bauxite, sugar, alumina, and steel. GPL is the gateway port for a hinterland spread over 8 states across eastern, western, southern and central India.
APSEZ had said that it is acquiring the Warburg Pincus stake of approximately 16.3 crore shares (31.5%) at Rs 120 per share which works out to a consideration of Rs 1,954 crore.
The company was also in discussions with DVS Raju & Family for their 58.1% stake (approximately 30 crore shares) in GPL.
In last week of March 2021, the company had announced the acquisition of 58.1% stake held by DVS Raju and family in GPL. The acquisition was valued at Rs 3,604 crore.
Last month, Adani Ports said that its proposal to acquire 10.4% stake for Rs 644.78 crore of Gangavaram Port from the Andhra Pradesh government has received approval from the Andhra Pradesh Maritime Board.
Adani Ports and Special Economic Zone (APSEZ), a part of globally diversified Adani Group, has evolved from a port company to ports and logistics platform for India.
The company reported 77% jump in consolidated net profit to Rs 1,342 crore on a 99% increase in consolidated revenue to Rs 4,557 crore in Q1 FY22 over Q1 FY21.
The scrip rose 0.12% to currently trade at Rs 749.85 on the BSE.
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