Adani acquires majority stake in Gopalpur

Under the terms of the deal, the concessionaire has full flexibility to design and expand the port in line with the market demand. GPL has received more than 500 acres of land on lease for development, with an option to receive additional land on lease to meet future capacity expansions.

“The acquisition of Gopalpur Port will allow us to deliver more integrated and enhanced solutions to our customers. Its location will allow us unprecedented access to the mining hubs of Odisha and neighboring states and allow us to expand our hinterland logistics footprint,” said Karan Adani, managing director of APSEZ.

”GPL will add to the Adani Group’s pan-India port network, east coast vs west coast cargo volume parity and strengthen APSEZ’s integrated logistics approach.”

Strategic move

Gopalpur Port is located on the east coast of India and has the capacity to handle 20 MMTPA.

The Government of Odisha awarded a 30-year concession to GPL in 2006, with the provision of two extensions of ten years each.

As a deep draft, multi-cargo port it handles a diverse mix of dry bulk cargo, including iron ore, coal, limestone, ilmenite and alumina. The port plays an important role in supporting the growth of mineral-based industries in its hinterland, like iron and steel.

The port handled 7.4 MMT of cargo in FY 23, and achieved an operational revenue of Rs. 373 crore for the year.

Gopalpur Port is currently in the hands of its existing shareholders, SP Port Maintenance Private Limited (56% stake) and Orissa Stevedores Limited (39% stake).

The acquisition is subject to approval from the Commerce and Transport Department, Govt. of Odisha. Adani expects it to be completed in early 2025.