Adani Ports and Special Economic Zone Ltd (APSEZ) has completed a significant acquisition by securing an 80% stake in Astro Offshore Group for $185 million in an all-cash transaction. This deal, valued at $235 million in enterprise value, is set to bolster APSEZ's marine operations and expand its market presence.
The acquisition, announced on August 30, brings a strategic boost to APSEZ's fleet and customer network. Astro, founded in 2009, is a leading operator of Offshore Support Vessels (OSVs) with a fleet of 26 vessels servicing regions including the Middle East, India, Far East Asia, and Africa. For the fiscal year ending April 30, 2024, Astro reported revenues of $95 million and an EBITDA of $41 million, along with a positive net cash position.
This acquisition aligns with APSEZ's strategy to enhance its marine operations. Astro's fleet includes Anchor Handling Tugs, flat top barges, Multipurpose Support Vessels, and workboats. The company offers crucial services in offshore construction, fabrication, and transportation, and supports major Tier-1 clients such as NMDC, McDermott, COOEC, Larsen & Toubro, and Saipem.
Astro's vessels play a vital role in offshore projects, including oil and gas field operations, subsea maintenance, and large-scale land reclamation efforts. The company’s high fleet utilization is supported by medium to long-term contracts, benefiting from rising charter rates amid a constrained global supply of OSVs.
Mr. Ashwani Gupta, Whole-time Director & CEO of APSEZ, highlighted the strategic importance of the acquisition, stating, "The acquisition of Astro is a key step in our goal to become one of the world's leading marine operators. Adding Astro’s 26 OSVs to our existing fleet of 142 tugs and dredgers will increase our total fleet to 168. This move will also enhance our presence in critical regions like the Arabian Gulf, the Indian subcontinent, and Far East Asia. We are excited to collaborate with Astro’s leadership team and expand our capabilities."
The acquisition is expected to contribute positively to APSEZ's growth from the outset, reinforcing its position in the global marine operations sector.
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