Adani Ports has decided to buy 97 per cent stake in Marine Infrastructure, which oversees operations of Kattupalli Port near Chennai, for an enterprise value of Rs 19.50 billion.
The company has signed Share Purchase Agreement with Larsen & Toubro (L&T), Marine Infrastructure Developer Pvt Ltd (MIDPL) and L&T Shipbuilding to acquire 97 per cent stake of Marine Infrastructure Developer Pvt Ltd, which is engaged in constructing, maintaining, developing and operating the port.
The consideration is in the form of cash. Of the Rs 19.50 billion enterprise value, Rs 3.88 billion is the consideration for the acquisition of shares and the balance Rs 15.62 billion is towards the settlement of liabilities of MIDPL.
The acquisition will further strengthen Adani's presence in East Coast and will enable the company to develop container terminal operation to increase market share in container, bulk terminal operation and marine services.