Edition:
India

Adani Ports And Special Economic Zone To Buy 75% Stake Of Krishnapatnam Port


Friday, 3 Jan 2020 

Jan 3 (Reuters) - Adani Ports and Special Economic Zone Ltd ::INTENDS TO ACQUIRE 75% STAKE OF KRISHNAPATNAM PORT COMPANY LIMITED FROM THE EXISTING SHAREHOLDERS OF KPCL.DEAL FOR ENTERPRISE VALUE OF 135.72 BILLION RUPEES.EXPECT KRISHNAPATNAM PORT TO GROW TO 100 MMT IN AROUND 7 YEARS.ACQUISITION WILL ACCELERATE APSEZ'S PATH TO 400 MMT.APSEZ'S MARKET SHARE WILL INCREASE FROM 22% TO 27% ON PAN INDIA BASIS AFTER DEAL.PURCHASE CONSIDERATION WILL BE FUNDED THROUGH INTERNAL ACCRUALS AND EXISTING CASH BALANCE.TRANSACTION IS EXPECTED TO BE COMPLETED IN 120 DAYS.CREDIT METRICS OF APSEZ CONSOLIDATED ARE NOT EXPECTED TO CHANGE WITH TRANSACTION.NET DEBT TO EBIDTA OF CONSOLIDATED APSEZ LTD. INCLUDING KPCL IN FY 21 IS EXPECTED TO BE AROUND 3.2X. 

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