Warburg Pincus-backed port seeks expansion into Australia

The company's chairman and managing director, DVS Raju, told The Times of India that KPMG has been hired to scope out opportunities.

"We want to acquire an existing operational port and modernize it through high mechanization and operate it. We are evaluating the existing port assets in Africa and Australia," he said, adding that the firm has less potential to develop Greenfield seaports in India because of environmental clearances and rehabilitation and resettlement packages.

Raju added that Gangavaram Port is also negotiating with Indian infrastructure firms with coal and other mineral assets to form alliances with them to build seaports for mineral shipments.

Warburg Pincus is said to be assisting Gangavaram in attempting to expand the port business, although local political, social, environmental and regulatory issues must be dealt with before any deals may be signed off.

The global private equity firm owns a 30% stake in the company, with the DVS Raju family and the Andhra Pradesh government holding the balance with 59.5% and 10.5% respectively.

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• Topics
• South Asia
• Infrastructure
• India
• Australia
• Infrastructure India
• Warburg Pincus Asia