Karan Adani, CEO and full-time director of APSEZ, said the consolidated business is likely to double in five years with improved margins
Karan Adani, CEO and full-time director of APSEZ, said the consolidated business is likely to double in five years with improved margins
Adani Ports and Special Economic Zones (APSEZ) announced on Friday that its subsidiary Adani Harbor Services has entered into a definitive agreement to acquire leading third-party shipping services provider Ocean Sparkle Ltd (OSL).
Commenting on the development, Karan Adani, CEO and full-time director of APSEZ, said that given the synergies between OSL and Adani Harbor Services Ltd (TAHSL), the consolidated business is likely to double in five years with improved margins, thereby creating significant value for APSEZ shareholders .
He further said that this acquisition not only gives APSEZ a significant stake in the Indian maritime services market, but also gives us a platform to establish a presence in other countries.
According to a statement, the company’s main activities include hauling, pilotage and dredging.
“With an asset base of 94 owned vessels and 13 third-party owned vessels, OSL is a market leader,” it added.
OSL is valued at an enterprise value of £1,700m, with £300m of free cash at the company, according to the statement. The company was founded in 1995 by a group of naval technocrats with P. Jairaj Kumar as Chairman and CEO, who will remain Chairman of the OSL.
It is present in all major ports, 15 minor ports and all 3 LNG terminals in India, the statement said.
Adani Ports and Special Economic Zones, the leading transportation arm of the diversified Adani Group, is India’s largest privately owned ports and logistics company.
