APSEZ buys 80% stake in OSV operator Astro for $185 million
PORTS & SHIPPING

APSEZ buys 80% stake in OSV operator Astro for $185 million

Adani Ports and Special Economic Zone Ltd (APSEZ) has reportedly acquired an 80% stake in the global offshore support vessel operator Astro in an all-cash deal valued at $185 million. This acquisition marks APSEZ's entry into providing services in the offshore oil and gas industry.

Astro, a leading offshore support vessel operator, operates in regions including the Middle East, India, Far East Asia, and Africa. The company owns a fleet of 26 vessels, including Anchor Handling Tugs, Flat Top Barges, Multipurpose Support Vessels, and workboats. According to a statement from APSEZ Ltd, Astro also offers vessel management and complementary services. Offshore support vessels play a crucial role in the exploration and exploitation of oil, gas, and minerals in offshore zones. They also provide support services, such as assisting in the construction and maintenance of offshore platforms, oil and gas fields, and subsea facilities. The statement further disclosed that for the year ending 30th April 2024, Astro reported $95 million in revenue and $41 million in EBITDA (earnings before interest, tax, depreciation, and amortisation). As of 30th April 2024, Astro was net cash positive. Astro?s Tier-1 customers reportedly include NMDC, McDermott, COOEC, Larsen & Toubro, and Saipem, positioning the company as a key player in the offshore construction, fabrication, and transportation markets. The entire transaction is expected to be finalised within a month. Ashwani Gupta, Whole-time Director and Chief Executive Officer of APSEZ, mentioned that the acquisition of Astro is part of APSEZ's plan to become one of the world?s largest marine operators. Gupta noted that Astro's 26 offshore support vessels would add to APSEZ's existing fleet of 142 tugs and dredgers, bringing the total to 168. He also highlighted that the acquisition would provide access to an impressive roster of Tier-1 customers and further consolidate APSEZ's presence across the Arabian Gulf, the Indian subcontinent, and Far East Asia. Gupta expressed eagerness to work closely with Astro?s leadership team to scale up the current platform. Astro?s business model reportedly leverages a mix of medium to long-term contracts with customers, enabling the company to maintain high fleet utilisation and benefit from increasing charter rates due to the limited global supply of offshore support vessels.

Mark Humphreys, Managing Director of Astro Offshore, remarked that the partnership with APSEZ represents a significant turning point for the company. He expressed optimism that together, they could accelerate growth, add further scale and diversity to their fleet, expand their geographical footprint, and deliver more end-to-end solutions to their customers.

Adani Ports and Special Economic Zone Ltd (APSEZ) has reportedly acquired an 80% stake in the global offshore support vessel operator Astro in an all-cash deal valued at $185 million. This acquisition marks APSEZ's entry into providing services in the offshore oil and gas industry. Astro, a leading offshore support vessel operator, operates in regions including the Middle East, India, Far East Asia, and Africa. The company owns a fleet of 26 vessels, including Anchor Handling Tugs, Flat Top Barges, Multipurpose Support Vessels, and workboats. According to a statement from APSEZ Ltd, Astro also offers vessel management and complementary services. Offshore support vessels play a crucial role in the exploration and exploitation of oil, gas, and minerals in offshore zones. They also provide support services, such as assisting in the construction and maintenance of offshore platforms, oil and gas fields, and subsea facilities. The statement further disclosed that for the year ending 30th April 2024, Astro reported $95 million in revenue and $41 million in EBITDA (earnings before interest, tax, depreciation, and amortisation). As of 30th April 2024, Astro was net cash positive. Astro?s Tier-1 customers reportedly include NMDC, McDermott, COOEC, Larsen & Toubro, and Saipem, positioning the company as a key player in the offshore construction, fabrication, and transportation markets. The entire transaction is expected to be finalised within a month. Ashwani Gupta, Whole-time Director and Chief Executive Officer of APSEZ, mentioned that the acquisition of Astro is part of APSEZ's plan to become one of the world?s largest marine operators. Gupta noted that Astro's 26 offshore support vessels would add to APSEZ's existing fleet of 142 tugs and dredgers, bringing the total to 168. He also highlighted that the acquisition would provide access to an impressive roster of Tier-1 customers and further consolidate APSEZ's presence across the Arabian Gulf, the Indian subcontinent, and Far East Asia. Gupta expressed eagerness to work closely with Astro?s leadership team to scale up the current platform. Astro?s business model reportedly leverages a mix of medium to long-term contracts with customers, enabling the company to maintain high fleet utilisation and benefit from increasing charter rates due to the limited global supply of offshore support vessels. Mark Humphreys, Managing Director of Astro Offshore, remarked that the partnership with APSEZ represents a significant turning point for the company. He expressed optimism that together, they could accelerate growth, add further scale and diversity to their fleet, expand their geographical footprint, and deliver more end-to-end solutions to their customers.

Next Story
Infrastructure Energy

J&K CM Rules Out Power Privatisation, Focuses on Sector Reform

Jammu and Kashmir Chief Minister Omar Abdullah has dismissed speculation regarding privatisation of electricity in the Union Territory, emphasising that his priority is to strengthen and reform the power sector.“We are not discussing privatisation. By reducing losses, improving billing efficiency, and enhancing revenue, there will be no need for it. My vision is to strengthen and reform the power sector in J&K,” Abdullah stated.He addressed the gathering at the 58th Engineers’ Day at SKICC on Monday evening, an event honouring Bharat Ratna Sir M Visvesvaraya for his pioneering contri..

Next Story
Infrastructure Urban

Mumbai’s Sassoon Dock to Get Tech-Driven Modernisation with Finland

The Maharashtra government, in collaboration with Finland, will modernise Mumbai’s historic Sassoon Dock using advanced technology, state minister Nitesh Rane announced on Wednesday.Rane met a delegation of Finnish officials and representatives of Finnish companies at the dock to discuss strategic plans for upgrading the facility in south Mumbai, according to an official statement.Built in the 19th century, Sassoon Dock is one of Mumbai’s oldest and busiest fishing harbours. Operations currently exceed its original capacity, raising concerns over hygiene, odour, fish handling standards, an..

Next Story
Infrastructure Energy

Agarwal Industrial Wins Rs 3.3 Billion IOCL Bitumen Tender

Agarwal Industrial Corporation rose 3.84 per cent to Rs 945.65 after announcing it had secured a prestigious tender from Indian Oil Corporation (IOCL) worth Rs 3.3 billion.In a regulatory filing during market hours, the company confirmed it had won the tender to supply Bulk Bitumen (VG-30 and VG-40 grades) to IOCL’s Kakinada locations.The firm quantity under the award totals around 60,500 tonnes across 11 parcels, while the optional quantity is approximately 33,000 tonnes across six parcels. This brings the total awarded quantity to roughly 93,500 tonnes. At current market prices, the firm o..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Talk to us?