Adani Group Plans 50% Equity Mix for ₹27,100 Cr Evos Ports Acquisition
Adani Ports will acquire Dutch liquid storage firm Evos for €2.56B (~₹27,100 cr), funding ~50% via equity and the rest via MUFG-underwritten debt.
Key Takeaways
- Adani Ports (APSEZ) agreed to buy 100% of Netherlands-based Evos B.V. at a €2.56 billion (~₹27,100–₹27,400 crore) enterprise value (€1.18 billion equity value).
- Funding splits roughly 50% equity (~$1.45 billion) and 50% debt, backed by up to €2.8 billion in MUFG-underwritten bridge/syndicated facilities.
- Adding 8 European liquid terminals (6.3M cbm, 56% EBITDA margin) expands green-fuel exposure while keeping pro forma net debt/EBITDA near 2.76x.
Adani Ports and Special Economic Zone (APSEZ) has agreed to acquire 100% of Netherlands-headquartered Evos B.V., Europe's second-largest independent liquid storage operator, at an enterprise value of €2.56 billion (~₹27,100–₹27,400 crore) in a landmark cross-border infrastructure deal.
What Happened
- 50-50 funding structure: Adani Group plans to finance roughly half of the transaction (~$1.45 billion) through equity, with the remaining balance funded via debt facilities underwritten by Japan's MUFG (up to €2.8 billion commitment) alongside refinancing ~€1.3 billion of existing Evos debt.
- European terminal footprint: Evos operates eight port-based liquid storage terminals across five European countries—the Netherlands, Germany, Spain, Belgium, and Malta—with 6.3 million cubic metres of total capacity.
- High-margin green transition: Alongside conventional refined fuels and chemicals, Evos handles sustainable aviation fuel (SAF), biofuels, and methanol, generating an estimated 56% EBITDA margin.
- Leverage discipline: Management expects pro forma net debt-to-EBITDA to sit near 2.76x immediately post-close before moderating toward 2.5x by FY27.
Deal & Leverage Snapshot
| Metric | Confirmed Figure | Balance-Sheet Impact |
|---|---|---|
| Enterprise Value | €2.56 billion (~₹27,100+ cr) | Equity value of €1.18 billion (~₹12,500 cr) |
| Storage Capacity | 6.3 million cbm (8 terminals) | Anchors ARA & Hamburg energy hubs |
| Evos EBITDA Margin | ~56% | Cash-generative infrastructure asset |
| Pro Forma Leverage | ~2.76x net debt/EBITDA | Targeted to ease toward 2.5x by FY27 |
Strategic Context in Global Port Logistics
Historically concentrated along India's coastline with selective overseas assets in Israel, Sri Lanka, and Tanzania, APSEZ gains immediate scale inside Europe's core Amsterdam-Rotterdam-Antwerp (ARA) and Hamburg trading hubs through Evos. Liquid tank storage typically operates under multi-year take-or-pay contracts, providing steadier cash yields than pure container volume cycles. Funding roughly 50% with equity also signals a deliberate effort to protect investment-grade credit metrics rather than over-leveraging the balance sheet.
Independent Analysis & Key Risks
- Strategic implication: Acquiring an established European platform accelerates APSEZ's diversification into green-fuel logistics while keeping consolidated leverage within manageable thresholds.
- Refinancing & rate risk: Converting the 18-month bridge facility into long-term syndicated debt amid elevated global yields will determine final interest-coverage accretion.
- Regulatory & integration risk: Closing requires multi-jurisdictional EU regulatory clearances across five nations, and European industrial fuel demand remains sensitive to regional manufacturing slowdowns.
Disclaimer: This report is for informational purposes only and does not constitute investment advice.
Sources & References
- View sourceLivemintNews Report
Adani Group's ₹26,000 crore Evos deal: What the Dutch firm's acquisition means for its global ports business
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