Ahmedabad (Gujarat) [India], December 15 (ANI): Adani Ports and Special Economic Zone Ltd (APSEZ), India’s largest transport utility, has forged a second strategic alliance with Terminal Investment Limited (TiL), the container terminal operating and investing arm of the world’s largest container shipping line, Mediterranean Shipping Company (MSC).
According to a press release, this partnership involves a significant development – the acquisition of a 49 per cent stake in Adani Ennore Container Terminal Pvt Ltd (AECTPL) by TiL, marking a crucial milestone in the companies’ growing collaboration.
AECTPL, situated on India’s east coast, boasts a quay length of 400 meters and an annual handling capacity of 0.8 million TEUs, with the potential for expansion to 1.4 million TEUs. The strategic investment by TiL is valued at Rs 247 crore, contributing to the total enterprise value of AECTPL, which stands at Rs 1,211 crore.
Upon completion of the transaction, APSEZ will retain a 51 per cent stake in AECTPL.
This development follows the successful 2013 joint venture between APSEZ and TiL for Adani International Container Terminal Pvt Ltd (AICTPL), operating CT3 Container Terminal at Mundra Port, India’s largest private commercial port.
The second joint venture reaffirms the robust partnership, emphasizing mutual trust and transparency.
Karan Adani, CEO and Whole Time Director of APSEZ expressed enthusiasm about deepening the strategic collaboration. He emphasized the aim to replicate the success of AICTPL at Ennore Container Terminal, catering to the growing trade demands of the South Indian market.
Adani said, “APSEZ enjoys a strong partnership with TiL and MSC, built on mutual trust and transparency, as reflected in our growing alliance. With this second joint venture, we are now further deepening this strategic partnership in one of the fastest-growing container terminal markets in the south”.
Adani added, “We aim to replicate the AICTPL terminal’s success at the Ennore Container Terminal and service the trade needs of the South Indian market. This strengthening of our association with the world’s largest shipping company reflects APSEZ’s robust vision of accelerating sectoral growth through a transparent business approach.”
Ammar Kanaan, CEO of Terminal Investment Ltd, expressed satisfaction in strengthening their partnership with APSEZ, enabling TiL to enhance its presence in one of the world’s fastest-growing economies.
Kanaan said, “We are highly pleased to strengthen our partnership with APSEZ, India’s largest private sector port operator. This association will enable us to further improve TiL’s presence in one of the world’s fastest-growing economies and strengthen our offering to customers in the Indian subcontinent.”
TiL’s acquisition is subject to regulatory approvals, and after completion, AECTPL will continue its operations with APSEZ holding a 51 per cent stake. The terminal’s concession period extends until 2044, reinforcing the long-term commitment to the venture.
This landmark deal underscores the collaborative spirit between APSEZ and TiL, positioning them as key players in India’s port and container terminal landscape.
As APSEZ continues to evolve as an integrated transport utility, such strategic alliances are instrumental in driving sectoral growth and fostering innovation in the maritime industry. (ANI)
