Indian port developer Adani Ports and Special Economic Zone Limited (APSEZ) has completed the acquisition of Krishnapatnam Port Company Ltd., (KPCL) for an enterprise value of Rs. 12,000 cr. ($1.7 billion) as it looks to accelerate its global supply chain strategy.
Following the acquisition, APSEZ will have a controlling stake of 75% in KPCL from the CVR Group and other investors. The company said it will help its stated strategy of cargo parity between west and east coasts of India.
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KPCL is a multi-cargo facility port situated in the southern part of Andhra Pradesh a state which has the second largest coastline in India.
Karan Adani, Chief Executive Officer and Whole Time Director of APSEZ said, “I am happy that KPCL the second largest private port in India has now become part of APSEZ portfolio.
This transformational acquisition enables us to roll out world class customer service to an increased customer base and provide pan India solution to them.
“Our experience of turning around acquisitions like Dhamra and Kattupalli ports will enable us in harnessing the potential of KPCL.
“With a vast waterfront and land availability of over 6,700 acres, KPCL is capable of replicating Mundra and would be future ready to handle 500 million metric tonnes (MMT.)
“We will replicate our operations and maintenance philosophy at KPCL, continue to focus on environment, reduce emission levels and have zero tolerance for fatalities and thus improve returns to stakeholders.”
