Adani Port to acquire 58.1% stake in Gangavaram port for Rs.3604 Crore

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Biznextindia : Gautam Adani–led Adani Ports and Special Economic Zone (APSEZ) on Tuesday announced that it has signed an agreement with DVS Raju & Family to acquire controlling stake of 58.1 per cent stake in Gangavaram Port limited for Rs.3604 crore.

Incorporated in 27th September 2001, GPL is a multi-cargo facility and it has a capacity of 64 MMT. The port handled 34.8 MMT of cargo and reported operational revenue of Rs.1082 crore in the 2019-20 financial year. 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, southern and central India.

The Rs.3604 crore transaction is expected to be completed within six months.

The acquisition is in line with APSEZ’s strategy of East Coast to West Coast parity and will provide an access to growth from new hinterland markets as it has coverage in resource rich and industrial belt in Eastern, Central & Southern India. The company is already operating the Dhamara port in Odisha.

“…GPL is a tremendous addition to our portfolio. The associated hinterland we will now be able to tap into is one of the fastest growing in the eastern region and with the logistic synergies APSEZ brings to the table, GPL has a potential to become a 250 MMT port. This will undoubtedly help accelerate the industrialization of AP. The Raju family has built a great port and we will continue to expand the world class asset that has been initiated by them” said Kalyan Adani,whole time director of APSEZ.

 

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