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BUSINESS EYE MAY 10, 2024 | The Indian Eye 42

Adani Ports net profit jumps by 50% as

the group ventures into green energy

Adani Green Energy Ltd secures USD 400 million in financing from a consortium of five

international banks for its 750 MW solar projects in Rajasthan and Gujarat

OUR BUREAU The second project, with 250
Mumbai/Ahmedabad MW capacity, is a standalone
dani Ports and Special Eco- merchant power project being
nomic Zone Limited (APSEZ),
Athe ports arm of diversified implemented at the world’s larg-
conglomerate, Adani Group, on est renewable energy (RE) clus-
Thursday posted a consolidated net
profit of Rs 8,104 crore, up 50% as ter in Khavda, Gujarat.
compared to Rs 5,391 crore in the
corresponding quarter of FY 2023. The consortium of lenders in-
During the fiscal year, APSEZ han- cludes Cooperative Rabobank U.A.,
dled 27% of India’s total cargo and DBS Bank Ltd., Intesa Sanpaolo
44% of container cargo. The com- S.p.A., MUFG Bank, Ltd., and Su-
pany’s domestic cargo volumes grew mitomo Mitsui Banking Corporation.
21% year-on-year. “With confidence in the evolving
“APSEZ outperformed its up- merchant energy market, AGEL is
per end of guidance provided at the diversifying revenue streams, along
beginning of the financial year on APSEZ has reported its Profit After Tax or net profits during the just-concluded financial year (ANI) with traditional PPAs, to enhance
cargo, revenue, and EBITDA by project revenue and position itself
6%-8%, while closing the year with of five international banks for its 750 One of the projects is being de- favorable for sustained value cre-
net debt to EBITDA ratio of 2.3x MW solar projects in Rajasthan and veloped in Rajasthan with 500 MW ation. Following AGEL’s lead, banks
vs its guidance of 2.5x. Clearly, the Gujarat. According to a company capacity and has a long-term power are becoming more comfortable with
company’s business model of end- statement, the projects are expected purchase agreement (PPA) with the financing merchant projects with the
to-end service, strategic partnership to commence operations from No- Solar Energy Corporation of India transaction marking a sentiment shift
with key customers, leveraging the vember 2024 onwards. (SECI), the statement said. in the international banking market,”
network effect through its string the statement said.
of ports, and focus on operational The green loan, housed under
efficiencies is yielding results, said India emerges as star among subsidiaries of AGEL supports the
Ashwani Gupta, whole time director company’s growth trajectory and
and CEO, APSEZ. emerging economies aligns with its commitment to sustain-
With incremental cargo volumes ability, it said.
of 100 MMT achieved in less than he stock market reflects In- mist, Geojit, noted the profound The USD 400 million construc-
two years, the company now aims to dia’s ascendance as an eco- consequences of India’s growth tra- tion facility along with the funding
attain 500 MMT of cargo volumes in Tnomic superpower with pre- jectory, particularly for the Indian solutions also provides the syndicated
2025, aided by recently acquired Go- mium valuations, but challenges stock market. guarantee-backed assurance program
palpur Port, and the scheduled com- remain for inclusive growth, said a He traces the evolution of In- in sync with AGEL’s procurement
missioning of Vizhinjam Port in the Geojit study. A hot topic of discus- dia’s economy from the low-growth strategy. The transaction paves the
current year and WCT next year. sion in global economic forums is the phase of 1950-80, marked by a strat- way for a sustainable debt structure,
“We continue to invest heavily in meteoric rise of India as an econom- egy rooted in public sector domi- developed as part of AGEL’s capital
the business to drive growth, partic- ic superpower. Over the past decade, nance and comprehensive planning, management plan, for financing mer-
ularly in the logistics segment. Our India has steadily climbed the ranks to the subsequent liberalization era chant exposure, the statement said.
newly launched trucking segment en- of global economies, transitioning that began in the 1980s. “It marks a milestone for the Indi-
ables APSEZ to provide the last-mile from the tenth to the fifth largest The landmark economic re- an RE sector as it steers the industry’s
connectivity solution to its customers. economy in the world, the study said. forms of 1991, initiated by the Nara- transition to the next phase of market
Our efforts towards sustainable busi- Projections indicate it will soon simha Rao government, paved the integration, with the commitment to
ness growth are well recognized in claim the third spot, trailing only way for liberalization, privatization, deliver the low-cost green electrons
the top decile ESG rating from four the US and China by 2027. With and globalization, catapulting India through promotion of merchant mar-
global rating agencies,” Gupta fur- a current GDP of around USD 4 into a phase of rapid growth. Since ket projects with right financing struc-
ther went on to say. trillion, India is poised to double its then, India has consistently been the ture demonstrating overall trust and
Meanwhile, Adani Green Ener- GDP to approximately USD 8 tril- second fastest-growing large econo- competitiveness for the Indian re-
gy Ltd (AGEL) announced on Thurs- lion by 2032. my globally, with GDP growth rates newable energy sector to drive clean
day that it has secured USD 400 mil- Dr VK Vijayakumar, econo- exceeding 6 percent. energy transition and decarbonisa-
lion in financing from a consortium tion,” the company said.

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