Adani Ports acquires NQXT Australia with 50 MTPA capacity

Ahmedabad, April 17: The Board of Directors of Adani Ports and Special Economic Zone Ltd (APSEZ) on Thursday approved the acquisition of Abbot Point Port Holdings Pte Ltd (APPH), Singapore, from Carmichael Rail and Port Singapore Holdings Pte Ltd, Singapore (CRPSHPL), which is a related party.

APPH holds the entities which own and operate the North Queensland Export Terminal (NQXT) -- a dedicated export terminal with a current nameplate capacity of 50 million tonnes per annum (MTPA).

The transaction will further enhance the APSEZ's global transport and logistics footprint and fast-track its journey to handle 1 billion tonnes per annum by 2030.

The terminal is located at the Port of Abbot Point, approximately 25 km north of Bowen, in North Queensland on Australia's east coast.

According to Adani Ports, the transaction will be completed on a non-cash basis. APSEZ will issue 14.38 crore equity shares to the CRPSHPL, in exchange for the acquisition of 100 per cent interest in APPH.

This is based on an enterprise value of NQXT of 3,975 million Australian dollars.

As part of the transaction, APSEZ will also assume other non-core assets and liabilities on APPH's balance sheet, which APSEZ will realise within a few months of the acquisition (zero net impact on the transaction valuation). APSEZ's leverage will remain at similar levels post the transaction, Adani Ports said in a statement.

"NQXT's acquisition is a pivotal step in our international strategy, opening new export markets and securing long-term contracts with valued users. Strategically located on the East-West trade corridor, NQXT is poised for robust growth as a high-performing asset, driven by increased capacity, upcoming contract renewals in the medium term, and the potential for green hydrogen exports in the long term," said Ashwani Gupta, Whole-time Director and CEO, APSEZ.

"We are targeting EBITDA growing to A$400 million within 4 years. I am proud to welcome NQXT to our 'Growth with Goodness' initiative, as it exemplifies our commitment to high standards in environmental, social, and governance practices," Gupta noted.

NQXT handled its all-time high cargo at 35 MMT in FY25, and APSEZ will benefit from an incremental EBITDA margin in excess of 90 per cent. NQXT EBITDA is set to grow to A$400 million within four years.

NQXT comes with an excellent ESG track record with minimal environmental footprint, diverse workforce, strong safety standards, and 50 per cent operational spend with local and regional suppliers.

Reader Comments

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Rajesh K.

Big move by Adani Ports! The 50 MTPA capacity is impressive and this acquisition will definitely strengthen their global position. Excited to see how this impacts India-Australia trade relations. 🇮🇳🤝🇦🇺

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Sarah L.

While I appreciate the economic benefits, I hope Adani maintains the strong ESG standards mentioned in the article. Australia's Great Barrier Reef is nearby and environmental protection should remain a priority.

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Amit P.

The non-cash deal structure is interesting - issuing shares instead of paying cash. Smart way to preserve liquidity while expanding globally. Adani's growth strategy continues to impress!

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Michael T.

As someone from Queensland, I'm cautiously optimistic. The port brings jobs, but I'll be watching closely to ensure local suppliers continue getting 50% of operational spend as promised.

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Priya N.

That 90% EBITDA margin is insane! No wonder they're projecting A$400 million in 4 years. Adani Ports keeps delivering value to shareholders. Might be time to add more to my portfolio.

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David W.

The green hydrogen potential is what excites me most about this deal. If they can position NQXT as a future hub for clean energy exports, that would be a game changer for the region.

We welcome thoughtful discussions from our readers. Please keep comments respectful and on-topic.