Completing a strategic deal on Wednesday, Mundra Port and SEZ (MPSEZ) said it has acquired Abbot Point X 50 Coal Terminal (APCT) at Queensland in Australia. The all-cash deal has been completed in less than a month?s time and Mundra has paid Abbot R8,600 crore for the acquisiton.
Having announced the deal on May 3, Mundra Port and SEZ CFO B Ravi told FE that the deal is poised to increase coal handling capacity of the company by another 50-80 million tonnes on a yearly basis.
He further added, ?the name of the company has been changed to Adani Abbot Point Terminal and the management team from Mundra is taking over the ownership and oversight of the operations of APCT from June 1.? Mundra has a long term goal of achieving a capacity of 200 MMTPA cargo by 2020 and this acquistion is a step further. Apart from this, the company?s nominated directors have come on the board of the target company. When asked how the deal has been financed, Ravi said, ?State Bank of India and Standard Chartered Bank are the financers who have given the deal amount as debt to Mundra. The full amount of has been remitted to the Queensland Government on Wednesday itself.?
With the acquisition, MPSEZ will be handling 50 million tonnes a year more of coal capacity at Adani Abbot Point Coal Terminal.
Apart from this, the company has also expressed interest in ?greenfield projects of T3 and T4 located next to APCT at Queensland alongwith another coal port project in the same area.? Adani group CMD Gautam S. Adani in a statement issued on Wednesday, said ?the entire deal has been completed from selection of bidder to completion. With the execution of various documents with officials of the Government of Queensland, Mundra Port has became the owner of APCT.?