India's largest private port operator, Adani Ports and Special Economic Zone Ltd. (APSEZ), announced plans to buy a coal export terminal in Australia from a group firm for $ 2.4 billion in non-cash.

The promoter group holding would increase by 2.13 percent as a result of APSEZ issuing 14.38 crore equity shares to the seller (a related party) through a preferential allotment route as part of a non-cash transaction.

The deal is anticipated to complete in two quarters after receiving the necessary clearances from the Reserve Bank of India (RBI), shareholders, and the Australian Foreign Investment Review Board.

The acquisition of Abbot Point Port Holdings Pte Ltd (APPH), Singapore, from Carmichael Rail and Port Singapore Holdings Pte Ltd (CRPSHPL), Singapore, was approved by the APSEZ board. One linked party is CRPSHPL.

The North Queensland Export Terminal (NQXT), a dedicated export terminal with a current nameplate capacity of 50 million tonnes annually, is owned and operated by APPH.

The NQXT was first purchased by APSEZ in 2011 for $ 2 billion.

The Adani family bought the asset and the invested cash from APSEZ for the same sum two years later, in 2013, allowing the business to focus on growing its domestic activities.

 

The most recent transaction will be finished without using cash. CRPSHPL would get 14.38 crore equity shares from APSEZ in return for acquiring a 100 percent stake in APPH.

This is predicated on the A$ 3,975 million (about USD 2.4 million) enterprise value of NQXT.

With a potential to nearly quadruple its volume from 35 million tonnes in FY25 to 120 million tonnes, including possible exports of green hydrogen from Australia, the acquisition will expedite APSEZ's goal of increasing its volumes to 1 billion tonnes annually by FY30.

The acquisition of NQXT, according to Ashwani Gupta, Whole-time Director & CEO, APSEZ, is a crucial milestone in their global strategy since it opens up new export markets and secures long-term agreements with valuable users.

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NQXT is a multi-user, naturally occurring deep-water export terminal. NQXT exported its cargo to 15 nations, with 10 percent going to Europe and 88 percent going to Asia. With pass-through O&M costs not included in revenue, NQXT reported FY25 revenue of A$ 349 million and EBITDA of A$ 228 million, with an incremental EBITDA margin above 90 percent for APSEZ.