"MSC Terminal Investment Acquires 49% Stake in Adani Ennore Container Terminal for ₹247 Crore"

In a significant move within the maritime industry, MSC Terminal Investment Ltd, the container terminal arm of Switzerland's Mediterranean Shipping Company (MSC), has acquired a substantial 49% stake in Adani Ennore Container Terminal (AECTPL) for an equity consideration of ₹247 crore. MSC, recognized as the world's largest shipping company, solidifies its foothold in India's port operations through this strategic investment.

Post-transaction completion, Adani Ports and Special Economic Zone (APSEZ) will retain a 51% stake in AECTPL, marking a strengthened partnership between the two entities. The deal elevates the total enterprise value of AECTPL to ₹1,211 crore.

As India's premier private port operator, APSEZ expressed its commitment to expanding collaboration with MSC. AECTPL represents the second joint venture, building on the success of the 2013 partnership for Adani International Container Terminal Pvt Ltd (AICTPL) at Mundra Port, Gujarat, the largest private commercial port in India.

AECTPL currently boasts an annual capacity of 0.8 million twenty-foot equivalent units (TEUs), with plans for expansion to 1.4 million TEUs annually. The terminal, situated on India's east coast, holds a concession until 2044.

Karan Adani, CEO and Whole Time Director of APSEZ, shared his vision, stating, "We aim to replicate the AICTPL terminal’s success at the Ennore Container Terminal and service the trade needs of the South Indian market." He emphasized the strengthened association with the world's largest shipping company as a testament to APSEZ's commitment to transparent business growth.

Ammar Kanaan, CEO of Terminal Investment Ltd, expressed satisfaction with the deepened partnership, stating, "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."

Located on India's east coast, AECTPL features a quay length of 400 meters and handled 0.55 million TEUs in FY23. APSEZ, in addition to Ennore, also operates the Katupalli Container terminal adjacent to the Ennore terminal.

At the time of reporting, the share price of Adani Ports on the NSE was trading at ₹1,068.75, showing a marginal decrease of 0.55 percent. The strategic investment positions MSC Terminal Investment and APSEZ for further success in India's burgeoning maritime landscape.

HBL