Adani Ports gains on reports of agreement with Kerala government for Rs 7,525-cr Vizhinjam port

NEW DELHI: Shares of Adani Ports and Special Economic Zone gained about 4 per cent in trade on Tuesday, after the company signed the work contract agreement with Kerala government for development of the Rs 7,525-crore Vizhinjam International Deepwater Multipurpose Seaport.

The stock ended day at Rs 363.65, up 1.49 per cent.

The project is expected to be operational in a record time of less than 1,000 days. Out of the total cost, Rs 4,089 crore would be the PPP component and Rs 1,463 crore would be the funded work expenditure to be borne by the state government.

The pact is for granting of licence for construction and operation of the port for a 40-year period, including the construction period of four years.

The company in a filing to BSE, said, "We would like to inform that the company is not signing any MoU with respect to Vizhinjam Port. We are signing the Concession Agreement, which is process in furtherance of Letter of Award."

Gautam Adani said the company would take steps to complete the project in 1,000 days and would start the actual construction work by November 1.