Adani Ports and Special Economic Zone, India’s largest integrated port and logistics company, stated in its second fiscal quarter report on October 27 that it has decided not to continue to build containers in Myanmar due to the deteriorating economic and humanitarian conditions in the country pier. “After reviewing the situation, the company’s risk management committee decided to formulate a plan to withdraw from the company’s investment in Myanmar, including exploring any divestment opportunities,” Adani said in a statement, but did not provide more details. It is expected that the company will be in March to…
Adani Ports and Special Economic Zone, India’s largest integrated port and logistics company, stated in its second fiscal quarter report on October 27 that it has decided not to continue to build containers in Myanmar due to the deteriorating economic and humanitarian conditions in the country pier.
“After reviewing the situation, the company’s risk management committee decided to formulate a plan to withdraw from the company’s investment in Myanmar, including exploring any divestment opportunities,” Adani said in a statement, but did not provide more details.
The statement stated that the company expects to completely withdraw from investment in this troubled country between March and June next year.
Write down US$127 million
Adani Ports stated that it has invested US$127 million in Myanmar so far, including US$90 million in advances for land leases, but pointed out that the write-down of this amount will not have a significant impact because the project only accounts for 1.3% of the total investment. The company’s total assets.
Adani won the bid to build and operate the Yangon International Terminal last year, an independent project wholly owned and developed by an Indian company.
A report issued by two human rights organizations in March cited documents stating that a department of Adani will pay up to 30 million U.S. dollars in land lease fees to the Myanmar Economic Company, which is two military-controlled companies in Myanmar under sanctions by the United States. One of the group.
Adani did not comment on the lease payments detailed in the report, but later stated that it “adopted a zero tolerance policy for sanctions.”
