Adani Group acquires MBCPNL portfolio from Sadbhav Infra for Rs 1,680 cr

Sadbhav Infrastructure Project (SIPL) and Adani Road Transport (ARTL) have entered into share purchase agreement for the sale of the equity shares of Maharashtra Border Check Post Network (MBCPNL).

ARTL, which develops, constructs, operates and manages roads and highway projects in India, will acquire a 49% stake in MBCPNL at first, with an option to acquire additional stake subject to regulatory approval, the company said in a statement. ARTL is a wholly owned subsidiary of Adani Enterprises.

The transaction has an enterprise value of Rs 1,680 crore. The acquisition is expected to be completed by Q3 FY22. The transaction is subject to certain regulatory and other customary conditions precedent common in transactions of this nature, including the approval of the relevant regulatory authorities (as applicable).

Vasistha C. Patel, the managing director (MD) of SIPL, said, "We are very much thankful to the Adani Group for agreeing to buy a project SPV. This transaction would mark a significant milestone for Sadbhav Group and synergies the future growth of the group. This is a very exciting phase in our journey and we are very committed to delivering growth and value to our shareholders, both at SIPL and SEL. This divestment will infuse liquidity support into the company and also provide resilience and necessary financial strength to the balance sheet of the company. The transaction would demonstrate the commitment of the promoters towards de-leveraging the overall financial position the group for a sustainable growth journey."

SIPL reported a consolidated net loss of Rs 132.98 crore in Q1 FY22 as compared to a net loss of Rs 96.83 crore in Q1 FY21. Net sales during the quarter declined 23.7% Y-o-Y to Rs 194.80 crore.

SIPL is engaged in development, construction as well as operation & maintenance of infrastructure projects and related consulting and advisory services.

Shares of SIPL dropped 3.13% to Rs 21.65 while Adani Enterprises rose 0.93% to Rs 1,443.95 on BSE.

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