Team News Riveting
Ahmedabad, December 15
Adani Ports and Special Economic Zone Ltd (APSEZ), the largest transport utility in India, has entered into a second strategic partnership with Terminal Investment Limited (TiL), the container terminal operating and investing arm of MSC, the largest container shipping line in the world, for the operation of Adani Ennore Container Terminal Pvt Ltd (AECTPL).
The second joint venture builds on the success of the 2013 joint venture with TiL for Adani International Container Terminal Pvt Ltd (AICTPL), which operates CT3 Container Terminal at Mundra Port, the largest private commercial port in India.
“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. We aim to replicate the AICTPL terminal’s success at the Ennore Container Terminal and service the trade needs of the South Indian market,” said Karan Adani, CEO and Whole Time Director of APSEZ. “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.”
“We are highly pleased to strengthen our partnership with APSEZ, India’s largest private sector port operator,” said Ammar Kanaan, CEO of Terminal Investment Ltd. “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.”
Terminal Investment Ltd, through its fully owned subsidiary Mundi Ltd, will acquire a 49% shareholding of AECTPL from APSEZ for a consideration of Rs 247 crore. The total enterprise value of AECTPL is Rs 1,211 crore. The transaction is subject to regulatory approvals. After the completion of the transaction, APSEZ would hold 51 per cent stake in AECTPL.
Located on India’s east coast, AECTPL has a quay length of 400 meters and an annual handling capacity of 0.8 Mn TEUs. The terminal handled 0.55 Mn TEUs in FY23 and 0.45 Mn TEUs in the initial eight months of the current fiscal year. The concession period of the terminal is until 2044, and its annual capacity can be extended to 1.4 Mn TEUs.
About Adani Ports & Special Economic Zone Ltd
Adani Ports and Special Economic Zone Ltd (APSEZ), a part of the globally diversified Adani Group has evolved from a port company to an Integrated Transport Utility providing an end-to-end solution from its port gate to customer gate. It is the largest port developer and operator in India with 7 strategically located ports and terminals on the west coast (Mundra, Tuna, Dahej, and Hazira in Gujarat, Mormugao in Goa, Dighi in Maharashtra and Vizhinjam in Kerala) and 7 ports and terminals on the East coast of India (Haldia in West Bengal, Dhamra in Odisha, Gangavaram and Krishnapatnam in Andhra Pradesh, Kattupalli and Ennore in Tamil Nadu and Karaikal in Puducherry, representing 26 per cent of the country’s total port volumes, thus providing capabilities to handle vast amounts of cargo from both coastal areas and the hinterland. The company is also developing a transshipment port at Colombo, Sri Lanka and operates the Haifa Port in Israel. Our Ports to Logistics Platform comprising port facilities, integrated logistics capabilities including multimodal logistics parks, Grade A warehouses, and industrial economic zones, puts us in an advantageous position as India stands to benefit from an impending overhaul in global supply chains. Our vision is to be the largest ports and logistics platform in the world in the next decade. With a vision to turn carbon neutral by 2025, APSEZ was the first Indian port and third in the world to sign up for the Science-Based Targets Initiative (SBTi) committing to emission reduction targets to control global warming at 1.5°C above pre-industrial levels.
About Terminal Investment Limited
TiL is one of the world’s largest and most geographically diverse container terminal businesses, managing over 70 terminals across 31 countries in 5 continents, strategically located at key ports on the major shipping routes and handling more than 62 Mn TEUs/year. With its portfolio of exceptional quality terminal assets, TIL has significant presence at 9 of the world’s 30 busiest ports by container volume, including Antwerp, Singapore, Long Beach, Ningbo, Newark, Valencia, Rotterdam, Busan and Los Angeles. TiL has the goal and ambition to be the world’s safest, most productive, and most efficient container terminal operator globally
