JSW Infra sets record high after winning 4,119 crore to construct Keni Port
Friday, 17 November 2023, 16:27 IST
JSW Infrastructure has announced in a stock exchange filing that it has secured the contract for constructing a greenfield port at Keni in Karnataka on a public-private partnership basis. The port will be all-weather and deep-water, and the project has been granted a letter of award (LOA) by the Karnataka Maritime Board. The estimated cost of the project is 4,119 crore, with an initial capacity of 30 million tonnes per annum, and the potential to increase substantially in the long run.
Arun Maheshwari, joint MD and CEO of JSW Infrastructure said the company is partnering with the Karnataka Government’s mission to meet the logistics demand of a rapidly growing state and the region’s economy. “Once developed, the Keni port is expected to crucially address the rising import and export trade momentum of the region". The upcoming Keni Port will feature state-of-the-art mechanized facilities that are eco-friendly and capable of handling cape-size vessels. The port is designed to accommodate all kinds of cargo and serve the industries located in the North Karnataka region on the west coast, including Bellary, Hosapete, Hubballi, Kalaburagi, and South Maharashtra.
The proposed Keni Port is strategically located between the operational Major Ports of Mormugao and New Mangalore. "The proposed port’s hinterland is primarily of coal and coke cargo, which is being utilized for steel, cement and power plants. It is also further supported by iron ore, limestone, dolomite handlings and the export of finished steel products. Rail connectivity to the Keni Port site is proposed to be on the southern side and will be connected with the existing Konkan line to the north of the Ankola Station. The proposed railway alignment will be developed with a total length of approximately 8 km. The proposed port will be well connected with Road and Railway Connectivity", he added.
According to the Karnataka Maritime Perspective Plan, Karnataka currently has the potential to handle 44 million tonnes per annum (MTPA) of cargo. This is expected to increase to 117 MTPA by 2035. Today, the stock of JSW Infrastructure opened with a gap-up at Rs.217.7 and reached an intra-day high of Rs.220 in early morning trade on the BSE, setting a new record high. At the current share price of Rs.202.80, the market capitalization of the infrastructure company stands at 44,730 crore. Over the past week, shares of JSW Infra have surged by 5.2%, over the past month by 20.51%, and over the past six months by 35.51%.
JSW Infra launched its initial public offering (IPO) in September 2023, marking the JSW Group's first IPO in nearly 13 years. The public offer consisted of 23.53 crore fresh shares of the group's ports business. On the financial front, the company reported a significant increase in net profit, which grew by 126.8% to 749.5 crore for the financial year ending March 2023 (FY23) compared to 330.44 crore in the previous fiscal year (FY22). Furthermore, revenue from operations rose by 41.7% to 3,372.85 crore from 2,378.74 crore in the year-ago period.
Arun Maheshwari, joint MD and CEO of JSW Infrastructure said the company is partnering with the Karnataka Government’s mission to meet the logistics demand of a rapidly growing state and the region’s economy. “Once developed, the Keni port is expected to crucially address the rising import and export trade momentum of the region". The upcoming Keni Port will feature state-of-the-art mechanized facilities that are eco-friendly and capable of handling cape-size vessels. The port is designed to accommodate all kinds of cargo and serve the industries located in the North Karnataka region on the west coast, including Bellary, Hosapete, Hubballi, Kalaburagi, and South Maharashtra.
The proposed Keni Port is strategically located between the operational Major Ports of Mormugao and New Mangalore. "The proposed port’s hinterland is primarily of coal and coke cargo, which is being utilized for steel, cement and power plants. It is also further supported by iron ore, limestone, dolomite handlings and the export of finished steel products. Rail connectivity to the Keni Port site is proposed to be on the southern side and will be connected with the existing Konkan line to the north of the Ankola Station. The proposed railway alignment will be developed with a total length of approximately 8 km. The proposed port will be well connected with Road and Railway Connectivity", he added.
According to the Karnataka Maritime Perspective Plan, Karnataka currently has the potential to handle 44 million tonnes per annum (MTPA) of cargo. This is expected to increase to 117 MTPA by 2035. Today, the stock of JSW Infrastructure opened with a gap-up at Rs.217.7 and reached an intra-day high of Rs.220 in early morning trade on the BSE, setting a new record high. At the current share price of Rs.202.80, the market capitalization of the infrastructure company stands at 44,730 crore. Over the past week, shares of JSW Infra have surged by 5.2%, over the past month by 20.51%, and over the past six months by 35.51%.
JSW Infra launched its initial public offering (IPO) in September 2023, marking the JSW Group's first IPO in nearly 13 years. The public offer consisted of 23.53 crore fresh shares of the group's ports business. On the financial front, the company reported a significant increase in net profit, which grew by 126.8% to 749.5 crore for the financial year ending March 2023 (FY23) compared to 330.44 crore in the previous fiscal year (FY22). Furthermore, revenue from operations rose by 41.7% to 3,372.85 crore from 2,378.74 crore in the year-ago period.
