Adani Ports share price rises 5% on Dighi port acquisition; Citi maintains buy
Research house Citi has kept buy rating with a target at Rs 715 per share.
February 17, 2021 / 10:07 AM IST
Adani Ports and Special Economic Zone (APSEZ ) share price touched 52-week high of Rs 670, rising over 5 percent in the early trade on February 17 after company completed the acquisition of Dighi Port Limited (DPL) for Rs 705 crore.
The company had intimated the commencement of this development to stock exchanges on March 6, 2020.
DPL, the 12th port to join APSEZ’s string of economic gateways across the eastern and western coast of India would establish the company’s footprint in Maharashtra, the largest contributor to India’s GDP, company said in the release.
This would enable APSEZ to service customers in Maharashtra which includes the highly industrial areas and development in the Mumbai
& Pune regions.
APSEZ plans to invest over Rs 10,000 crore to develop the port into a multi-cargo port with world class infrastructure as well as investing in the development of rail & road evacuation infrastructure for seamless and efficient cargo movement.
The company will strengthen and repair existing infrastructure and invest in development of facilities for dry, container, and liquid cargo.
Research house Citi has kept buy rating with a target at Rs 715 per share. It believes consolidation is continuing in the industry and the valuation is attractive, especially given good quality underlying business, reported CNBC-TV18.
At 09:18 hrs Adani Ports and Special Economic Zone was quoting at Rs 665.70, up Rs 29.15, or 4.58 percent on the BSE.Disclaimer: The views and investment tips expressed by investment experts on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.