Adani Ports and Special Economic Zone Ltd (APSEZ) announced on Tuesday its acquisition of a majority stake in Gopalpur Port Limited (GPL), securing 56% from the SP Group and 39% from Orissa Stevedores Limited (OSL) for a sum of Rs 3,080 crore.
Situated along the eastern coastline of India, Gopalpur Port boasts a handling capacity of 20 MMTPA (million metric tonne per annum). The Odisha government granted GPL a 30-year concession in 2006, extendable twice for 10 years each.
Apart from the base transaction value, there exists a contingent consideration of Rs 270 crore, anticipated to be disbursed after 5.5 years, contingent upon meeting specific conditions outlined in the agreement with the sellers, as per APSEZ.
Karan Adani, Managing Director of APSEZ, emphasized, "The acquisition of Gopalpur Port will empower us to offer more comprehensive and improved solutions to our clientele. Its strategic location provides unparalleled access to the mining regions of Odisha and neighboring states, facilitating the expansion of our hinterland logistics network."
Adani further elaborated, "GPL's integration into the Adani Group's nationwide port network will significantly augment overall cargo handling capacity and fortify APSEZ's holistic logistics strategy."
Functioning as a pivotal support for the development of mineral-based industries in its hinterland, including iron and steel, and alumina, GPL enjoys the autonomy to tailor and expand its infrastructure in line with market demand.
GPL has secured over 500 acres of leased land for developmental purposes, with the option for additional land acquisition to accommodate future capacity expansions, according to APSEZ.
Facilitated by its connectivity through National Highway NH16 and a dedicated railway line linked to the Chennai-Howrah main line, the port maintains strong ties with its hinterland.
In the fiscal year 2024, GPL anticipates handling approximately 11.3 MMT cargo, marking a 52% year-on-year growth, with projected revenue of Rs 520 crore (a 39% YoY increase) and an estimated EBITDA of Rs 232 crore (a 65% YoY surge).
APSEZ, an integral component of the globally diversified Adani Group, stands as the foremost port developer and operator in India, with a robust presence encompassing seven strategically situated ports and terminals along both the west and east coasts.
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