News Ports

Oiltanking sells IOTL stake to Adani Ports for $130M


Oiltanking and Oiltanking India recently sold their stakes in Indian Oiltanking Limited (IOTL) and its subsidiary, Utkal Energy Services Limited, to Adani Ports and Special Economic Zone Limited for $130 million.

The transaction is subject to closing adjustments and customer approvals.

Ernst & Young, a top mergers and acquisitions firm in the energy sector, acted as financial advisor for the sale.

“Given the seismic global energy transition trends currently under way, we are envisaging the possibility of more such transactions in India and overseas, both of which we continue to cover deeply,” the company said in a release. “EY continues to lead the M&A league tables in number of deals for the last 20 years.”

IOTL is a midstream infrastructure service and solution provider to the oil, gas, and chemical industries with domain expertise in build capabilities, terminalling services, and renewable energy. Since its inception in 1997, the company has combined the strength and reputation of its current parent companies—Oiltanking and Indian Oil Corporation—to provide customers with logistics services and technical solutions.

IOTL and its subsidiaries have a network of six terminals with a total capacity of approximately 2.4 million kiloliters for storage and handling of crude, petroleum products, ethanol, LPG, and petrochemicals. IOTL’s strategically located businesses are spread across the entire country (at ports and refineries, as well as inland) including Navghar, Paradip, Raipur, Goa, Jawaharlal Nehru Port Trust (JNPT), and Dumad.

“We understand that this acquisition makes the Adani Group India’s largest non-captive liquid tank storage player,” Ernst & Young said.

 

 



Source link