Adani Ports and Special Economic Zone Limited (APSEZ) announced on Tuesday (30 Jun) the execution of a definitive agreement with Terminal Investment Limited (TiL)—the terminal operating subsidiary of Mediterranean Shipping Company (MSC)—to divest a 49% equity stake in Adani Vizhinjam Port Private Limited (AVPPL) for USD 1.397 billion. The transaction implies an enterprise valuation of USD 2.85 billion for the port asset.
Under the terms of the agreement, APSEZ will retain a controlling 51% shareholding, maintain board-level governance authority, and continue to consolidate AVPPL as a wholly owned subsidiary in its financial statements, as disclosed in its regulatory filing with the Securities and Exchange Board of India (SEBI).
The investment represents the largest foreign direct investment (FDI) by a private entity in India’s port infrastructure sector to date. It also marks the third strategic joint venture between APSEZ and TiL, following their successful collaborations at the Mundra and Ennore container terminals.
The consideration will be disbursed in two tranches: an initial payment of USD 539 million for the equity stake, followed by a committed investment of USD 858 million toward TiL’s proportional share of the ongoing port expansion—scheduled for completion by December 2028.
Commissioned in December 2024, Vizhinjam Port is India’s inaugural deep-draft transshipment hub, with an initial annual handling capacity of 1.6 million twenty-foot equivalent units (TEUs). Upon completion of the expansion, its capacity is projected to increase to 5.7 million TEUs—a 3.5-fold enhancement—by end-2028.
Since commencement of commercial operations, the port has handled over 2 million TEUs within its first 18 months and recently welcomed its 1,000th vessel. APSEZ anticipates that TiL’s operational expertise and global network will enhance cargo visibility, accelerate growth in transshipment volumes, strengthen connectivity to East African markets, and expand the port’s share of Bangladesh-bound containerized trade.
Ashwani Gupta, Whole-time Director and Chief Executive Officer of APSEZ, stated: “This expanded partnership with MSC reinforces Vizhinjam’s strategic role as a world-class transshipment gateway and advances India’s integration into global maritime trade corridors.”
Resource.: https://mp.weixin.qq.com/s/9_Q4dM85vLGmw12ZIBEkeQ