Adani Logistics acquires ICD 'Tumb' (Vapi) from Navkar Corporation

by IANS |

Ahmedabad, Aug 16 (IANS) Adani Logistics Ltd (ALL), a wholly owned subsidiary of Adani Ports and Special Economic Zone Ltd (APSEZ), has signed a definitive agreement to acquire the ICD "Tumb" (Vapi) from Navkar Corporation Ltd for an enterprise value of Rs 835 crore.

The deal comprises acquisition of the operational ICD with capacity to handle 0.5 million TEUs. The associated 129 acres of land provides an additional expansion path to increase capacity and cargo in near future as additional industrial corridors and logistic parks get added along these DFC routes.

The Tumb ICD has a private freight terminal with four rail handling lines connected with Western DFC and has custom notified land & bonded warehouse facilities.

"Tumb is one of the largest ICDs in the country. Given its strategic positioning in the middle of one of the busiest industrial zones and access to the dedicated freight corridor allows it to meaningfully serve the vast hinterland with access to two of the busiest ports on both sides, Hazira & Nhava Sheva," said Karan Adani, CEO and Whole Time Director of APSEZ.

"In addition to cargo moving by rail being 5X greener than that moving by road, another prime benefit of the access to the DFC is the savings in average transit times that is expected to be 10 hours by rail versus 24 hours by road. This acquisition fits well with our transformation strategy towards becoming a transport utility as well as move us closer to our objective of providing economical door to door services to our customers. We are confident to grow the volumes at the ICD at high double digits as we build out a sustainable world class multi-modal supply chain solution for the nation."

The acquisition based on the land value and replacement cost of existing assets is priced at an enterprise value of Rs 835 crore, implying an EV/EBITDA multiple of 7.8x (based on FY23(E) EBITDA). The deal is subject to customary regulatory and lender's approvals and is expected to close in Q2 FY23.

Latest News
Delhi HC to examine Google's advertising terms for legal remedies in India Fri, Mar 29, 2024, 12:49 PM
IPL 2024: 'Focused on the ball, believed in my practice', says Parag on match-winning 84 Fri, Mar 29, 2024, 12:45 PM
Samsung, employees agree to 5.1 pc pay raise for 2024 Fri, Mar 29, 2024, 12:43 PM
South Korean Ambassador to Australia resigns amid controversy over his appointment Fri, Mar 29, 2024, 12:41 PM
Pak Foreign Office endorses Foreign Minister's proposal on resuming trade with India Fri, Mar 29, 2024, 12:24 PM
Four drones launched by Yemen's Houthis destroyed: US military Fri, Mar 29, 2024, 12:16 PM
Executive Board of Rajasthan Cricket Association Dissolved; Ad-hoc Committee Established Fri, Mar 29, 2024, 12:07 PM
Bird flu outbreak reported at Bulgarian farm Fri, Mar 29, 2024, 11:48 AM
Dimitrov ends Alcaraz' chances of 'Sunshine Double' in Miami Fri, Mar 29, 2024, 11:43 AM
World should develop the concept of Green GDP: PM Modi Fri, Mar 29, 2024, 11:42 AM
Deepfakes in a democratic country like India a big concern: PM Modi Fri, Mar 29, 2024, 11:41 AM
FTX CEO Sam Bankman-Fried sentenced to 25 years in prison Fri, Mar 29, 2024, 11:39 AM
One killed, 27 injured in multiple vehicles collision in Myanmar Fri, Mar 29, 2024, 11:36 AM
Bangladeshi teen in 'mental crisis' shot dead by New York police Fri, Mar 29, 2024, 11:31 AM
Man shot dead in Australia Fri, Mar 29, 2024, 11:24 AM