Adani Ports concludes sale of Myanmar Port for $30 million to unnamed buyer
- In May 2022, APSEZ said that it signed a Share Purchase Agreement for the sale of the port but the sale was delayed.
- The buyer and seller have renegotiated the sale consideration to $30 million, APSEZ said.
- The buyer will pay the said amount to the seller within 3 business days on completing all the necessary compliance by the seller.
In May 2022, APSEZ said it had signed a share purchase agreement (SPA) for the sale of the port. The SPA had certain condition precedents (CPs), including completion of the project and relevant approvals for smooth conduct of business by the buyer.
Given the continuous delay in the approval process and challenges in meeting certain CPs, APSEZ obtained an independent valuation on “as is where is” basis, the company said in a press release. Thereby the buyer and seller have renegotiated the sale consideration to $30 million.
“This exit is in line with the guidance provided by the APSEZ Board based on the recommendations made by the Risk Committee in OCtober 2021,” said Karan Adani, chief executive officer and whole-time director, APSEZ.
The buyer will pay the said amount to the seller within 3 business days on completing all the necessary compliance by the seller. On receipt of the total transaction value, APSEZ shall transfer the equity to the buyer and its exit will stand concluded.
In another business update on Thursday, the company said that it handled 32.3 million metric tonnes of total cargo in April 2023, implying a year-on-year growth of 12.8%. This growth in cargo volumes is supported by a dry cargo volume increase of 9%, which includes iron ore, non-coking coal, and coastal coal. The container volume increased by 13.6%.
“I am also pleased to announce that Dhamra LNG Terminal berthed its first ship and the natural gas started flowing in the pipeline network connected to the terminal, well in line with our guidance of achieving the LNG terminal commissioning during Q1 FY24,” said Adani.
Stake sales across group companies
In the last few months, the Adani group has been selling stakes across companies to stem a sharp fall in value after US based research firm Hindenburg released a report in January accusing the group of stock manipulation and more.
The group promoters sold stakes in four companies — Adani Enterprises, Adani Ports & SEZ, Adani Green and Adani Transmission – to investment management firm GQG Partners for ₹15,446 crore.
In the meanwhile, Adani group has paid the entire $1.2 billion it had committed, to acquire Israel’s
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