JSW Infrastructure has expanded its portfolio by acquiring assets in the liquid terminals sector in Fujairah, recognised as one of the top three global hubs for this business.
The company, through its wholly-owned subsidiary JSW Terminal Middle East FZE, has announced a share purchase agreement with MPT Commodities Ltd, a part of the Mercuria Group based in Switzerland.
They plan to acquire a liquid storage facility with a capacity of 465,000 cubic meters at the Fujairah port in the UAE for ₹1,555 crore. The acquisition will be financed through a combination of debt and internal accruals, with 30% of the funds coming from internal sources.
The company aims to complete the acquisition by December and anticipates generating approximately $30 million in business from this investment.
With this move, JSW Infrastructure strengthens its international presence, now with two terminals in the UAE—Fujairah and Dibba—further cementing its position in the maritime sector globally.
The company’s future plans include potentially expanding into similar terminals in India if the Fujairah terminal proves to be profitable and suitable.
Arun Maheshwari, Joint MD and CEO of JSW Infrastructure said “This is our first venture into this type of terminal business. Once we gain hands-on experience in this safe zone, we can contemplate expanding our presence within India, especially in the oil tankers terminal sector,” he said.
He said, We are in very good space today. Our fundamentals are strong with zero net debt, strong Ebitda and the volumes going up, we believe, we have an appetite and intention to grow, and would like to make it big in this industry,” he added. “And given the government is becoming more transparent as they get into public-private partnerships, there are opportunities, and greenfield ports available. Hence there are more acquisitions available. It’s a match.”
However, if it doesn’t meet their expectations, they are prepared to establish their own terminals. The primary goal of the acquisition is to gain a comprehensive understanding of the business intricacies.
The portfolio of the Mumbai-based company includes nine Port Concessions across India, with a range of eco-friendly port facilities spanning the nation’s coastline.
JSW Infra has a market cap of ₹24,981.6 crore. The company’s key competitors include Adani Ports & Special Economic Zone, and Cochin Shipyard, among others.