GMR to sell its entire 51% stake in Kakinada SEZ for ₹2610 cr to Aurobindo Realty

September 25, 2020: GMR Infrastructure today announced the signing of definitive agreements for the sale of equity owned by its wholly-owned subsidiary GMR SEZ and Port Holding of its entire 51 percent stake in Kakinada SEZ to Aurobindo Realty and Infrastructure (ARIPL) for ₹2610 crore.

As part of the proposed transfer of stake of KSEZ, the 100% equity stake of Kakinada Gateway Port (“KGPL”) held by KSEZ would also be transferred to Aurobindo Realty.

"Total consideration for the sale of equity stake as well as the sub-debt in KSEZ is ₹2610 crore. Out of the total consideration, ₹1600 crore would be received on the closing date and balance ₹1010 crore would be received in next 2 to 3 years which is contingent upon certain agreed milestones," noted the release.

Kakinada SEZ
KSEZ is engaged in the business of implementation of a port-based multi-product special economic zone project at Kakinada, East Godavari District, Andhra Pradesh and KGPL has the concession granted by the government of Andhra Pradesh to set up a greenfield commercial port in Kona Village of the East Godavari district of Andhra Pradesh. The Kakinada SEZ industrial park is located on the Vizag-Chennai Industrial Corridor and offers 8,521 acres of industrial land, while the commercial port will be built in 1,811 acres.