Ocean Sparkle will become a wholly-owned subsidiary of Adani Harbour Services following the completion of the acquisition.
Adani Ports and Special Economic Zone (APSEZ) has acquired a 100% stake in Ocean Sparkle, India’s leading third-party marine services provider, through its subsidiary Adani Harbour Services for Rs 1,530 crore. According to the company, the investment is in line with its strategy to expand its footprint in the marine service segment. The transaction should be completed within a month.
APSEZ will pay Rs 1,135.30 crore for a 75% stake in OSL, as well as Rs 394.87 crore for an indirect acquisition of a 24.31% stake in OSL via a 100% stake in Savi Jana. “The total consideration for 100% stake of OSL acquired directly as point (A) above and indirectly as discussed below in point (B),” the company said in a BSE filing.
Ocean Sparkle will become a wholly-owned subsidiary of Adani Harbour Services following the completion of the acquisition.
“Given the synergies of OSL and Adani Harbour Services, the consolidated business is likely to double in five years with improved margins, thereby creating significant value for APSEZ’s shareholders,” says Karan Adani, CEO and Whole-time Director of APSEZ, adding that this acquisition will also provide the company with a platform to build its presence in other countries. APSEZ aspires to be the world’s largest port operator and India’s largest integrated transport utility by 2030.
Ocean Sparkle, founded on July 26, 1995, is a company that provides port operations and management services, such as technical management of marine crafts, harbour towage service, mooring services, pilotage services, and so on. OSL has operations in Sri Lanka, Saudi Arabia, Yemen, Qatar, and Africa, in addition to India.
Contracts with the company range from 5 to 20 years. OSL has a presence in all of India’s major ports, 15 minor ports, and three LNG terminals. It employs 1,800 people across India.
ICRA has assigned OSL an AA-credit rating. In FY22, the company is expected to generate Rs 600 crore in revenue, Rs 310 crore in EBITDA, and Rs 135 crore in PAT.