Gujarat-based Adani Group has signed an agreement with Larsen & Toubro Ltd. to acquire the latter's Kattupalli port near here for an undisclosed sum, the two parties said on Monday.
In a regulatory filing with the Bombay Stock Exchange (BSE), Larsen & Toubro (L&T) said it has entered into an in-principle agreement with Adani Kattupalli Ports Private Ltd. for a strategic sale of Kattupalli port.
Adani Kattupalli Ports is a subsidiary of Adani Ports and Special Economic Zone.
The Kattupalli port is under L&T Shipbuilding Ltd., a subsidiary of L&T.
According to L&T, it has entered into an arrangement with Adani Kattupalli Ports to hand over the port operations while awaiting regulatory approvals for the formal transfer.
L&T also said the port operations will be demerged from its subsidiary L&T Shipbuilding.
The Kattupalli port is a deep water, all- weather port with an international container terminal.
The port with two berths started operations in 2013.
The berths are equipped with six quay cranes and designed to handle container, dry bulk and break-bulk cargo. There is an environmental approval for further expansion.
"The Kattupalli agreement is yet another step by us to continue to enable the development of the port infrastructure that is critical for our country. The Kattupalli port is a strategic complement to our Ennore Container terminal which is getting commissioned next year," Adani Group chairman Gautam Adani was quoted as saying in a statement.
The Adani Group owns and operates seven ports and terminals - Mundra, Dahej, Kandla and Hazira in Gujarat, Dhamra in Odisha, Mormugao in Goa and Visakhapatnam in Andhra Pradesh.
Adani is developing a terminal at Ennore in Tamil Nadu and Vizhinjam International Deepwater Seaport in Kerala.
