India’s largest private multi-port operator Adani Port and Special Economic Zone Limited’s (APSEZ) board has agreed to buyback non-convertible debentures (NCD’s) worth Rs 1400 crore. APSEZ is a business segment of the multinational conglomerate Adani Group. The decision for buyback was taken by the Board of Directors in a meeting. The meeting was held on 18th March, 2019 where the directors granted the approval. The buyback is to be carried out as per the negotiated deal. The transactions are said to be carried out in one or more tranche as per the rules of the agreement.

Financials:

APSEZ’s shares suffered after they declared their weak Q3 results. Although the S&P BSE Sensex Index was up 367.96 points, the company’s shares were 2.21% at Rs 332. APSEZ’s consolidated profit after tax rose 42% to Rs 1410 crore on 5% rise in revenue to Rs 2824 crore in Q3 December 2018 over Q3 December 2017. The company’s consolidated EBITDA (excluding forex loss/gain) rose 3% to Rs 1843 crore in Q3 December 2018 over Q3 December 2017. In Q3 December, 2018 EBITDA margin was at 65%. APSEZ’s profit were also hit by forex losses that stood at Rs 570 crore in Q2 September, 2018 which was an 86% rise as compared to the previous year’s forex loss. After this short term breakdown of the company, this is the first big step taken by their board.

APSEZ provides Dredging and Reclamation solutions, primarily for port and harbor construction. As of now the company operates a fleet of 19 dredgers, the largest capital dredging capacity in India.

Stock Moment:

As on 19th March, 2019 APSEZ’s shares were down by 0.98% trading at Rs 365.40 on the NSE.

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