Adani buys Aussie port for $2 bn

Adani Group-owned Mundra Port and Special Economic Zone Ltd on Tuesday announced the $2- billion (Rs 8,900-crore) acquisition of Abbot Point Port in Queensland, Australia, on a 99-year lease, marking the beginning of the company's business expansion outside India. HT reports.

Adani Group-owned Mundra Port and Special Economic Zone Ltd (MPSEZL) on Tuesday announced the $2- billion (Rs 8,900-crore) acquisition of Abbot Point Port in Queensland, Australia, on a 99-year lease, marking the beginning of the company's business expansion outside India.

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The move will help Adani ship coal to its power plants in India and tap into the growing coal cargo in the region, analysts said

MPSEZL will get two berths terminal with associated infrastructure including rail loop, conveyor and state-of-the-art loading system. The terminal has the capacity to handle vessels with over two lakh tonnes.

The company's balance sheet size will double after the acquisition, said B Ravi, chief financial officer, MPSEZL. "This an all-cash deal duly funded by an acquisition debt. The assets base at Abbot Port allows us to have take-out finance at the assets level very soon."

"MPSEZL will operate this terminal in Australia. The company is already developing another port facility at Dungeon Point in Queensland," Ravi said. A port facility is also under construction in Indonesia, he added. In India, two ports are operational in Gujarat (Mundra and Dahej) while Hazira and Goa will be commissioned in next three years