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JSW Infrastructure and A.P. Moller Capital join forces for port infrastructure growth

24 May 20243 mins read by Angel One
This strategic alliance between JSW Infra and APMC has the potential to be a game-changer for India's port infrastructure development.
JSW Infrastructure and A.P. Moller Capital join forces for port infrastructure growth
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About the Memorandum of Understanding

JSW Infrastructure Limited (JSW Infra) and A.P. Moller Capital (APMC) have signed a momentous Memorandum of Understanding (MOU) to explore collaborative opportunities in India’s port and related infrastructure sector. This strategic alliance signifies a significant development with the potential to reshape the landscape of port development and logistics in India.

The MOU lays the groundwork for a joint venture platform, leveraging the combined expertise and resources of both parties. JSW Infra, a leading Indian port operator, brings its established presence and domestic knowledge, while APMC, the investment arm of A.P. Moller-Maersk, contributes its global experience and financial strength.

The joint venture will identify and pursue strategic projects in the Indian port and logistics infrastructure sector, focusing on both organic growth and inorganic opportunities. Both JSW Infra and APMC have expressed their intent to invest substantially in the joint venture, subject to mutually agreed terms. (The initial structure outlines a 51% stake for JSW Infra and 49% for APMC, with a feasibility study required for each project to ensure commercial and operational viability).

This strategic alliance between JSW Infra and APMC has the potential to be a game-changer for India’s port infrastructure development. By combining their strengths, they can contribute significantly to enhancing India’s port capacity, improving logistics efficiency, and ultimately boosting the nation’s trade competitiveness.

Share Price Movement

The shares of JSW infrastructure are currently trading at Rs 281.55 up by 2.75 points or 0.93% as compared to the previous day’s closing of Rs 278.70. The share price opened at Rs 279.30 and touched intraday high and low of Rs 285 and Rs 278.05, respectively. The stock has a 52-week high of Rs 285.25 and 52-week low of Rs 141.75.

About Company

JSW Infrastructure Limited, formerly known as JSW Infrastructure & Logistics Limited, is a rapidly growing port-related infrastructure company in India. It has expanded from one Port Concession in Goa to nine across India, offering maritime services such as cargo handling, storage solutions, logistics, and other value-added services. The company operates ports and port terminals under Port Concessions, with concession periods ranging from 30 to 50 years. Its ports are strategically located near JSW Group customers and cargo origination and consumption points, making them a preferred choice for customers in industrial hinterlands and mineral-rich belts.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.

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