Adani Group's Strategic $1.2 Billion Push: Transforming Kerala's Deep-Sea Port

Adani Group is set to invest an additional $1.2 billion into a deep-sea port in Kerala, India. This move follows a $34 billion market loss after Gautam Adani's legal troubles. Despite past delays, the port will boost shipping capacity and enhance its competitive position by 2028.

Adani Group's ports division has pledged an additional investment of $1.2 billion into a deep-sea port project in Kerala, India. The announcement was made by the local government on Thursday amidst recent financial setbacks faced by the conglomerate. This comes after Adani Group experienced a sharp $34 billion decline in market value following legal allegations against Chairman Gautam Adani.

Adani Group has countered the allegations, labeling them as 'baseless.' The Vizhinjam port, strategically positioned near key international shipping lanes, is central to Adani's ambitions of competing with major ports in Dubai, Singapore, and Sri Lanka.

The new agreement resolves ongoing arbitration issues and paves the way for the completion of the port's subsequent phases. With the first phase already operational since July, full commercial launches are anticipated soon, along with an eventual capacity of 3 million TEU by 2028, according to Kerala's Chief Minister.

(With inputs from agencies.)