MSC Group to acquire 49% stake in Adani's Vizhinjam port for $1.4 billion

Adani Ports and Special Economic Zone (APSEZ) and Mediterranean Shipping Company (MSC) Group have expanded their long-standing partnership, with MSC's terminal business agreeing to acquire a 49% stake in Adani Vizhinjam Port in a deal valuing the port at $2.85 billion.

Under the definitive agreement announced on Tuesday, Terminal Investment Limited (TiL), MSC Group's container terminal arm, will invest $1.397 billion for a 49% stake in Adani Vizhinjam Port Private Ltd. (AVPPL), the company that operates the seaport in Kerala. The transaction is subject to regulatory and other customary approvals, APSEZ said in a release.

According to the release, the deal is the largest foreign private investment in Indian port infrastructure. It also marks the third major collaboration between APSEZ and MSC, following their successful partnerships at container terminals in Mundra and Ennore.

"The strategic collaboration represents the single largest foreign private investment in Indian port infrastructure and cements Vizhinjam's emergence as a dominant transshipment gateway in the Indian Ocean region," the release said.

TiL is among the world's largest container terminal operators and is part of the MSC Group, the world's largest transport and logistics company. It operates a network of more than 100 container terminals across five continents, with an annual throughput of over 70 million TEUs.

Partnership to boost transshipment, cargo volumes

The investment is expected to strengthen Vizhinjam's position as a major transshipment hub by ensuring higher cargo volumes from MSC's global shipping network. APSEZ said the partnership would provide better visibility into future cargo traffic and help the port ramp up operations faster than originally planned.

The Adani Group company added that the collaboration is expected to increase the share of Bangladesh-bound cargo handled at Vizhinjam, strengthen the port's presence on East Africa trade routes, and improve relay cargo volumes.

"Vizhinjam Port has emerged as a premier transshipment hub and ramped up at an unprecedented pace, becoming the first Indian port to achieve the distinction of crossing 2 million TEUs within 18 months of operations," said Ashwani Gupta, Whole-time Director and CEO of APSEZ.

"I am delighted to expand APSEZ's long-standing partnership with MSC to Vizhinjam as we prepare for the port's next phase of growth. I am confident that our association will deliver enhanced supply chain efficiencies at a global scale and improve India's access to key mature and emerging markets," Gupta added.

Deal to accelerate Vizhinjam's growth

Vizhinjam is India's first deep-draft mega transshipment port and began operations in December 2024. It currently has an annual capacity of 1.6 million twenty-foot equivalent units (TEUs) and is undergoing a major expansion that will increase capacity by more than three times to 5.7 million TEUs by December 2028.

The port enjoys a strategic location, lying just 10 nautical miles from the busy East-West international shipping route connecting Europe, the Persian Gulf, and the Far East. It has a natural water depth of 18-20 metres, allowing it to handle some of the world's largest container vessels without extensive dredging.

Vizhinjam is also India's first automated port. It is equipped with eight quay cranes, 24 fully automated yard cranes, an advanced information technology platform, and an artificial intelligence-enabled Vessel Traffic Management System (VTMS) to improve efficiency and safety.

The port has expanded rapidly since becoming operational. During FY26, it handled 1.3 million TEUs and 615 vessels, making it the fastest Indian port to cross the 1 million TEU milestone. Within just 18 months, it crossed 2 million TEUs and handled more than 950 vessels, setting another national record.

In June 2026, Vizhinjam welcomed its 1,000th vessel. According to APSEZ, the port has so far handled more than 70 ultra-large container vessels (ULCVs) -the highest among Indian ports - along with 283 vessels longer than 300 metres and 98 vessels requiring drafts of more than 16 metres.

For APSEZ, the partnership not only brings in a global strategic investor but also strengthens the long-term growth prospects of Vizhinjam, which the company sees as a key gateway to India's growing role in global container trade.