The Competition Commission of India(CCI) on May 18 approved the proposed acquisition of an additional 25% shareholding of Adani Krishnapatnam Port Ltd by Adani Ports and Special Economic Zone Ltd.
On April 5, Adani Ports, which had last year acquired a 75 percent stake in Krishnapatnam Port, announced that it has acquired an additional 25 percent stake in the port, making it a fully-owned port.
The proposed acquisition of the 25 percent stake from Vishwa Samudra Holdings will be for Rs 2,800 crore, Adani Ports had said.
India’s largest private ports and logistics company said that together with the 75 percent ownership in Krishnapatnam port acquired in October last year, the acquisition implies an enterprise value of Rs 13,675 crore.
The company had said that the acquisition reinforces its stride towards 500 million metric tonnes by 2025 and achieving its broader strategy of cargo parity between the west and east coasts of India.
Krishnapatnam Port is located on India’s east coast in the Nellore district of Andhra Pradesh. It is an all-weather, deep water port and has a multi-cargo facility with a current capacity of 64 million tons a year. The port, which has a waterfront of 20 kilometres and 6,800 acres of land, has a master plan capacity of 300 million tons a year and a 50-year concession.
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