Adani Ports to buy 75% stake in Krishnapatnam Port Company for Rs 13,572 cr

Adani Ports to buy 75% stake in Krishnapatnam Port Company for Rs 13,572 cr

• The Gautam Adani-led Adani Ports and Special Economic Zone Ltd (APSEZ), India’s largest private sector port operator has announced to acquire controlling stake (75%) in Krishnapatnam Port Company Limited (KPCL).
• The company will buy a 75% stake in KPCL at an enterprise value of Rs 13,572 crore.
• It is the largest acquisition in the port sector in India.
• The acquisition would be funded through internal accruals and existing cash balance.
• The purchase will accelerate Adani Ports’ plan to expand its cargo-handling capacity to 400mt by 2025.
• Adani Port handled 54 million tonnes (mt) of cargo in the year ended 31 March 2019.