NEW DELHI, March 12 -- Shares of Adani Ports and Special Economic Zone Ltd rose 3% on Thursday, 4 March, to hit a new 52-week high. Investors are visibly pleased with the company's acquisition of a 31.5% stake in Gangavaram Port Ltd (GPL). Note that this comes after Adani Ports completed the acquisition of Krishnapatnam Port Co. Ltd in October.
So, what does GPL bring to the table? The Gangavaram deal helps Adani Ports expand its market share to 30% across 12 locations in the country. Gangavaram is the second-largest non-major port in Andhra Pradesh and has a capacity of 64 million tonnes per annum (mtpa). Its equity has been valued at '6,203 crore for the deal.
The Gangavaram deal is value-accretive, said analysts from Jefferies India Pv...