For Rs 3,080 crore, Adani Ports and Special Economic Zone Ltd (APSEZ) announced on Tuesday that it had purchased 39% of Orissa Stevedores Limited (OSL) and 56% of the SP Group in Gopalpur Port Limited (GPL).
The nation’s east coast is home to Gopalpur Port, which can handle up to 20 MMTPA (million metric tonnes per annum).
In 2006, the Odisha government granted GPL a 30-year concession, renewable twice for an additional ten years.
The company stated that in addition to the enterprise value, a contingent consideration of approximately Rs 270 crore is expected to be payable after 5.5 years, provided certain conditions are met as per the agreement with the sellers.
“By acquiring Gopalpur Port, we will be able to provide our clients with better, more integrated solutions. According to Karan Adani, Managing Director of APSEZ, “its location will allow us unprecedented access to the mining hubs of Odisha and neighbouring states and allow us to expand our hinterland logistics footprint.”
“GPL will add to the Adani Group’s pan-India port network, significantly enhance overall cargo volume, and strengthen APSEZ’s integrated logistics approach,” stated Karan Adani.
The port is crucial to the development of the hinterland’s mineral-based industries, which include alumina, iron and steel, and others. The concessionaire is completely free to plan and grow the port in response to market demands.
According to the company, GPL has leased over 500 acres of land for development, and it has the option to lease more land in the future to accommodate capacity expansions.
