S&P: Adani Ports Financially Equipped for North Queensland Export Terminal Acquisition

Adani Ports and Special Economic Zone (APSEZ) is well-positioned to accommodate its proposed acquisition of Australia’s North Queensland Export Terminal (NQXT), according to S&P and other leading global rating agencies. The $2.4–$2.5 billion non-cash deal, structured through the issuance of 14.35 crore new equity shares, marks a major step in APSEZ’s global expansion strategy, strengthening its presence in the Asia-Pacific region and diversifying its port portfolio.

 

Fitch Ratings and other analysts have deemed the acquisition “credit neutral,” emphasizing that it will not adversely impact APSEZ’s financial health or leverage ratios, which are expected to remain stable at around 3.0 times through FY29. The transaction will significantly boost APSEZ’s global EBITDA contribution from 4% to 10%, while operational impact remains limited since Adani already manages the terminal. NQXT, located at Abbot Point, is a strategic asset with a 50 MTPA capacity, long-term take-or-pay contracts, and an 85-year lease, ensuring stable cash flows.

 

The acquisition awaits regulatory and shareholder approvals but is seen as a pivotal move to secure new export markets, enhance operational scale, and support APSEZ’s target of handling 1 billion tonnes of cargo by 2030.

 

Source: Economic Times, The Hindu BusinessLine, Energy World, India Infoline