: In one of the largest post-pandemic M&A deals in India,
Essar today announced signing definitive agreements with Arcelor Mittal Nippon Steel (AM/NS)
for certain Ports and Power infrastructure assets which are primarily captive to Hazira steel plant
operations.
The deal also envisages a 50-50 Joint Venture partnership, for building a 4 MTPA LNG terminal
at Hazira, Gujarat, between Essar and ArcelorMittal.
Mr Rewant Ruia, Director, Essar Ports & Terminals Limited, said “With this deal, which yields a
multifold return on our investments, Essar Ports & Terminals has unlocked value for all its
stakeholders and will continue to focus on building new and modern core infrastructure assets in
India and overseas.”
Mr Prashant Ruia, Director, Essar Capital, said “Essar is now repositioned for growth and
resurgence. After consolidating our businesses over the last 4 years, we have now entered
the next growth phase focused on helping build a sustainable energy future that will
impact lives and livelihoods for a greener world.”
With this deal, Essar will conclude its planned asset monetisation programme and complete the
debt repayment plan of $25 billion (₹2,00,000 crore) with the Indian banking sector being almost
fully repaid. Essar’s aggregate revenues will stand at c.US$ 15 billion (~₹1.2 lakh core) and an
AUM (Asset Under Management) of c.US$ 8 billion (₹64,000 crore) comprising of various assets
spread across India and overseas.
These assets under Energy sector include a 10 MTPA refinery in the United Kingdom (UK), 15
TCF reserves (including some producing fields) of Unconventional Hydrocarbons in India &
Vietnam and a 1,200 MW Power Plant in India; Infra sector assets include a storage terminal in
UK of 3 million m3 capacity and a 20 MTPA Port in India; Metals & Mining sector assets include a
major iron ore mine and pellet project in USA; Technology & Services sector assets include Global
EPC business and IT solutions provider with centers across 30+ countries.