Adani Ports Acquires 80% Stake in Astro Offshore for $185 Million

04 Sep, 2024

Adani Ports Acquires 80% Stake in Astro Offshore for $185 Million

Adani Ports and Special Economic Zone (APSEZ) has announced a definitive agreement to acquire an 80% stake in Astro Offshore for $185 million in cash. The remaining 20% stake will continue to be held by the existing promoters of Astro Offshore. The transaction values Astro Offshore at $235 million, including debt. This acquisition will significantly enhance Adani’s fleet, which currently includes 142 tugs and dredgers, by adding Astro Offshore’s fleet of 26 vessels, including barges and workboats.

The deal will also broaden Adani Ports’ diversification beyond its core port operations, granting access to a prominent customer base in the EPC, oil and gas, and renewables sectors. Notable clients include India’s NMDC, Larsen and Toubro (L&T), McDermott, and COOEC. This strategic move is aimed at reinforcing Adani Ports’ position as India’s largest port operator and expanding its presence in the India-Middle East-Far East regions.

The acquisition is anticipated to be finalized within a month, as it does not require regulatory approvals. This deal follows Adani Group’s recent acquisition of Israel’s Haifa Port in January 2023, further consolidating its regional operations. Astro Offshore reported revenues of $95 million and EBITDA of $41 million for the four months ending April 30, 2024.