Adani Road Transport, a wholly-owned subsidiary of Adani Enterprises, will be acquiring a 100% stake in Swarna Tollway Private Ltd (STPL) and a 56.8% stake in Gujarat Road and Infrastructure Company Ltd (GRICL) from Macquarie Asia Infrastructure Fund, the company informed the exchanges on Thursday.
The acquisition is at an enterprise value of Rs 3,110 crore.
STPL & GRICL have two stretches of toll roads each in Andhra Pradesh and Gujarat. MAIF owns 56.8% stake in GRICL and a 100% stake in STPL. IL&FS owns 26.8% stake and Govt of Gujarat owns the balance stake in GRICL. The company said ARTL will also evaluate the acquisition of IL&FS stake in GRICL post this acquisition.
“The portfolio has an LTM EBITDA of INR 456 Cr with approx. INR 165 Cr of net debt. This translates into an EV/EBITDA multiple of approx. 6.8x. The deal is subject to customary regulatory and lender’s approvals,” the company said in a press release.
With this, ARTL’s business in highways now includes eight Hybrid Annuity Mode (HAM) projects, five Build-Operate-Transfer (BOT) projects, and one Toll-Operate-Transfer (TOT) road project in 10 states in India with more than Rs 41,000 crore of projects under management.
“ARTL is committed to the Adani Group’s nation building initiative with a portfolio of more than 5,000 lane km of highway projects under construction/operation. This is one of the largest portfolios of toll road assets with high quality, strong team, long and robust track record of growth and strong cash flow generation with low leverage,” Krishna Prakash Maheshwari, CEO of ARTL, said.
The deal is subject to customary regulatory and lender’s approvals.
