Adani appoints former Israel envoy Ron Malka as executive chairman of Haifa Port

NEW DELHI, INDIA - NOVEMBER 20: Israel Ambassador to India Ron Malka with Lea Malka during Exhibition of The Allure of India Company Paintings curated by Seema Bhalla at Bikaner House on November 20, 2018 in New Delhi, India. (Photo by Prabhas Roy/Hindustan Times via Getty Images)

Adani Ports and Special Economic Zone has appointed former Israeli Ambassador to India Ron Malka as the executive chairman of Haifa Port Company.

“I'm honoured and privileged to take office today as executive chairman of the Haifa Port Company, on behalf of @AdaniOnline. The experience and expertise of Adani and Gadot, combined with the dedication of the port workers, will take Haifa Port to new heights of prosperity,” Malka confirmed in a tweet on April 2.

Malka's appointment is an indication that Adani Ports has no plans to slow down its investment in Haifa port at a time when the group's shares have been on a slump. Following allegations of fraud by Hindenburg Research, the Adani Group had acquired the strategic Israeli port of Haifa for $1.2 billion.

Hindenburg row that has already wiped out over $70 billion in value from his group stocks rocked by allegations of fraud by US short-seller Hindenburg Research.

The Hindenburg row has wiped out over $70 billion in value from the Adani group stocks.

In July 2022, Adani Ports had won the tender for privatisation of Israel's Haifa Port along with it business local partner chemical and logistics group Gadot.

The APSEZ-Gadot Group consortium completed the acquisition of HPC from the Israeli government on January 10. While APSEZ holds 70 percent in the project, Gadot holds the balance 30 percent.

Haifa Port said the new group will operate the port until 2054 and that the winning bid was "higher than expected".

Located in northern Israel, Haifa is one of Israel’s two biggest commercial ports, handles nearly half of Israel’s container cargo, and is also a principal port for passenger traffic and cruise ships. The existing infrastructure at Haifa Port includes two container terminals and two multi-cargo terminals.

Prime Minister Benjamin Netanyahu had described the deal as an "enormous milestone". He had also added the deal will significantly improve connectivity between the two countries in many ways.

The Adani Group has already put at least two domestic expansion plans in cold storage. It has shelved the Rs 7,017-crore plan to acquire coal-based electricity generating units of DB Power Ltd. An Adani Power subsidiary has also decided to terminate an agreement with Orient Cement for the utilisation of land in Maharashtra.

However, the Haifa port project has strategic value besides being a vital expansion of its operations by the Adani group.