Adani Ports to acquire Australian terminal

By Admin

18 Apr, 2025

Adani Ports and Special Economic Zone Ltd (APSEZ), India’s largest port developer, has announced a strategic $2.4 billion non-cash acquisition of the North Queensland Export Terminal (NQXT) in Australia. The acquisition will be executed through the purchase of Abbot Point Port Holdings Pte Ltd (APPH), Singapore, from Carmichael Rail and Port Singapore Holdings Pte Ltd (CRPSHPL), also based in Singapore. This move is aimed at strengthening APSEZ’s footprint in the Asia-Pacific region and expanding its global port portfolio.

A Strategic Asset in Australia’s Resource Corridor

APPH owns the entities which own and operate the North Queensland Export Terminal, a dedicated deep-water export facility located at the Port of Abbot Point, about 25 km north of Bowen in North Queensland. With a current nameplate capacity of 50 million tonnes per annum (MTPA), the terminal is a critical piece of infrastructure that supports Australia’s thriving resource sector. The port, declared a strategic port and a Priority Port Development Area by the Queensland Government, operates under a long-term lease from the state government.

NQXT has a high-quality customer base and services cargo from major mining basins including Bowen and Galilee. It currently supports eight major customers under long-term ‘take or pay’ contracts and recorded an all-time high cargo volume of 35 million tonnes in FY25, with cargo exports reaching 15 countries — 88% to Asia and 10% to Europe.

Reacquisition After Over a Decade

APSEZ initially acquired NQXT back in 2011 for $2 billion but divested the asset in 2013 to the Adani family. This allowed the company to focus on domestic expansion. Now, after over a decade and with a significantly stronger balance sheet, APSEZ is reacquiring the terminal at a valuation nearly equivalent to the 2013 deal, despite capital growth, infrastructure expansion, and inflation over the years.

The transaction reflects a multiple of around 17x EV/EBITDA — slightly discounted when compared to regional deals like DP World's 2019 Australian terminal acquisition at 18x.

Strengthening Global Reach

This marks APSEZ’s fourth overseas acquisition in the last two years. With this acquisition, APSEZ’s portfolio will expand to 19 ports and terminals, including 15 in India and 4 international locations — Israel, Sri Lanka, Tanzania, and now Australia. The deal also supports APSEZ’s broader objective of scaling up to 1 billion tonnes of cargo annually by FY30. The terminal is expected to boost volumes from 35 million tonnes in FY25 to potentially 120 million tonnes, including future prospects like green hydrogen exports from Australia.

Growing Importance Amid Global Trade Tensions

The acquisition comes at a time when global port assets are gaining strategic relevance amid rising trade uncertainties, especially between the US and China. Investment firms like BlackRock have been actively pursuing major port assets worldwide — including Panama and infrastructure holdings via Global Infrastructure Partners — underlining the significance of ports in global trade.

A senior APSEZ official emphasized that the NQXT terminal’s 90% exposure to the rapidly growing Asian market, especially China and India, gives it a strategic edge. Additionally, while Australia is not a part of China’s Belt and Road Initiative, it remains a key resource hub and strategic partner to India, attracting nearly $9 billion in Chinese investment in the port sector alone.

A New Era of Global Integration for APSEZ

With this acquisition, APSEZ not only deepens its global presence but also reinforces its long-term commitment to integrating the global supply chain through high-value, strategically located port assets. The reacquisition of NQXT is a testament to APSEZ’s global ambitions and operational strength — positioning it to become a leader in international port operations.