Adani enters Africa with acquisition of Tanzania container firm

An Adani Ports and Special Economic Zone Ltd joint venture has entered into an agreement with Hutchison Port Holdings Ltd to acquire 95% stake in a container terminal company at the Port of Dar es Salaam in Tanzania.

Adani has partnered with Abu Dhabi-based logistics company AD Ports Group and East Harbour Terminals Ltd to acquire Tanzania International Container Terminal Services Ltd for $39.5 million, the Ahmadabad, India-based company said in an exchange filing.

This is the first container terminal to be operated by billionaire Gautam Adani's airports-to-power conglomerate in the African continent. It will be the third international port asset for Adani Ports after Haifa in Israel and Colombo in Sri Lanka.

Adani Ports has also signed a 30-year concession agreement with the Tanzania Ports Authority to operate and manage the second container facility at the port. The terminal has a cargo handling capacity of one million twenty-foot equivalent units and managed 820,000 TEUs in 2023.

Adani expects to close the acquisition by the end of next month pending the approval of the Fair Competition Commission of Tanzania.