Adani Ports: Jefferies Remains Bullish After Completion Of Key Acquisition

Jefferies has remained bullish on Adani Ports & Special Economic Zone Ltd. after the completion of the acquisition of North Queensland Export Terminal (NQXT) in Australia’s Abbot Point, which could speed up the company’s international expansion and balance sheet.

The Acquisition Details

The acquisition, which was finalised earlier this week, involves Adani Ports taking over the terminal from its promoter group, Carmichael Rail and Port Singapore Holdings Pte Ltd.

The deal was funded through a preferential allotment of approximately 144 million equity shares at Rs 1,199 per share, thus representing a 6% equity dilution for existing shareholders.

Impact On Adani Ports’ Volumes And Ebitda

In its latest note, Jefferies has pointed out that the completion of the NQXT acquisition is expected to bolster Adani Ports‘ volumes by 8% and Ebitda by 6% on a full-year consolidation basis for FY26, as the port has an on-paper capacity of 50 million tonnes per annum.

“The acquisition provides visibility on international expansion,” Jefferies noted, adding that the move aligns with Adani Ports‘ goal of handling 150 million tonnes of international cargo by 2030.

A Significant Round-Trip For The Asset

The transaction marks a significant round-trip for the asset, which was formerly known as Abbot Point Coal Terminal.

Adani Ports had initially acquired the terminal back in 2011 to develop its coal handling capabilities. However, the acquisition had deeply impacted the company’s balance sheet, spiking its net debt-to-equity ratio to 3.6x, Jefferies noted.

Improved Financial Health

However, the brokerage firm added that the re-acquisition in 2025 is fundamentally different due to Adani Ports‘ improved financial health.

The company’s current net debt-to-equity ratio stands at a robust 0.7x, compared to the precarious levels seen in 2012.

Jefferies’ Buy Call And Target Price

Keeping that in mind, Jefferies has maintained a buy call on Adani Ports with a target price of Rs 1,880, which implies an upside of 25% from Wednesday’s closing price of Rs 1,496.

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