JSW Infrastructure, India's second largest commercial port company and part of US$ 23 billion JSW Group has signed a Share Purchase Agreement, through its subsidiary, JSW Dharamatar Port, with SP Port Maintenance (a Shapoorji Pallonji Group Company) to acquire majority shareholding of PNP Maritime Services (PNP Port), an operating port company located at Shahbaj, Raigad district, Maharashtra, which is about 20 nautical miles from Mumbai Anchorage. The acquisition values PNP Port at an enterprise value of around Rs 700 crores with a current capacity of 5 million tonnes per annum (MTPA) and potential to expand to 19MTPA.
This acquisition is part of JSW Infrastructure's strategic direction to explore opportunities to expand organically and inorganically, to provide end to end logistics services near the cargo consumption / generation centres. PNP port is expected to strengthen JSW Infrastructure's position to provide Hub & Spoke model services to customers, thereby saving substantially in the logistics costs. JSW Infrastructure intends to upgrade the PNP Port facilities and expand its capacity from current 5 MTPA to 19 MTPA in a phased manner. This acquisition furthers its vision to increase the use of waterways and existing railway facility at PNP adds synergies to the last mile connectivity.
The acquisition of PNP Port is a strategic asset for JSW infrastructure. It will allow the company to service growing share of 3rd party customers in India and derive huge synergies with our existing ports & terminals. It will be able to participate in the Govt. of India Maritime Vision to move cargo through Rail- Sea- Rail route and coastal cargo. At PNP Port, development of Port based industries will be a key focus area and service to multipurpose cargo of Bulk, Container, Liquid etc.
The PNP Port is an operational port, connected with Road & Rail facilities, and servicing to various industries in the hinterland i.e. Maharashtra, Madhya Pradesh, Karnataka etc. It has a very strategic locational advantage on West Coast of India and having direct access to large cargo centres such as Mumbai, Pune, Mumbai, Palghar, Thane, Pune, Solapur, Bhiwandi, Nasik etc. PNP Port is connected with the Central & Konkan Railway network which is a very important cargo evacuation mode. With the well-connected railway system, it will be able to service customers for container, Liquid and bulk cargo in future. The Port also has very good road connectivity with Mumbai- Goa Highway.
Shares of JSW Infrastructure Limited was last trading in BSE at Rs. 217.55 as compared to the previous close of Rs. 219.90. The total number of shares traded during the day was 665379 in over 9618 trades.
The stock hit an intraday high of Rs. 227.70 and intraday low of 217.00. The net turnover during the day was Rs. 146963036.00.