Adani Group looking at Rs 8,600-crore bid for Brisbane port: Report

Indian's Adani Group is looking at putting in an A$2-billion (Rs 8,630 crore) bid for the port of Brisbane that is being privatised by the Queensland government, media reports said today.

"Indian conglomerate Adani Group has emerged as the third player in the... privatisation of the Port of Brisbane," The Australian newspaper said in a report.

The group manages India's largest private sector port, Mundra, and a related Special Economic Zone. It has been investing in coal mines and related infrastructure in Australia.

"While reports have identified two consortiums conducting due diligence on the port, for which bids are due late this month, The Australian has learned that Adani is also expected to lodge a bid...The (state) government is offering 99-year leases at the port under a landlord-style model," said the report. When asked, an Adani Group spokesperson declined to comment, while saying, "We continuously look for growth opportunities both in India and abroad."

Adani is also India's largest importer of coal and had, in August, bought the coal assets of Linc Energy in Queensland for a cash and royalty deal of A$3bn. It has also been granted the right to develop a new coal port at Dudgeon Point in North Queensland.

According to the newspaper report, the Port of Brisbane Corporation generated a net profit of US$232 million (Rs 1,040 crore) for the year to June 30. "However, differences in business models and underlying operating volatility mean that the final sale is likely to be in the low A$2-bn range," the report said.

It also said Infratil and HRL Morrison, infrastructure companies from New Zealand, withdrew early last month, leaving a group led by Morgan Stanley Infrastructure Partners and Unisuper, and a syndicate of Global Infrastructure Partners, Queensland Investment Corporation and Macquarie Capital.

The Credit Suisse-advised Global Infrastructure Partners bid is still seen by industry watchers and rivals as the strongest among the field of potential bidders, it said.