AEGISVOPAK Boosts Pipavav LPG Capacity by 48,000 MT!

Big news from Aegis Vopak Terminals Limited (AEGISVOPAK)! The company, which was recently trading around ₹262, has announced a significant expansion of its LPG storage capabilities at Pipavav Port. This move is set to bolster its footprint in the crucial energy infrastructure sector. 🚀

AEGISVOPAK has entered into a Business Transfer Agreement (BTA) with Aegis Logistics Limited (ALL), one of its promoters, to acquire an LPG Terminal. This isn’t just any terminal; it comes with a substantial Cryogenic static LPG storage capacity of 48,000 Metric Tons (MT)! This acquisition is happening via a slump sale, ensuring a smooth transition on a going concern basis.

What does this mean for AEGISVOPAK? Well, it’s a massive capacity addition! Currently, the company has an existing capacity of 22,800 MT. With this new acquisition, their total LPG storage capacity at Pipavav will jump to an impressive 70,800 MT. That’s a significant leap, effective from July 10, 2025.

Financially, this strategic move involves an investment of INR 428.40 Crores (that’s INR 4,284,000,000!). The good news is, the company plans to fund this entire expansion through internal accruals, which speaks volumes about its financial health. 💪

Why Pipavav? The rationale behind this expansion is clear: Pipavav Port offers a strategic location. By adding this storage capacity, AEGISVOPAK aims to better service Public Sector Undertakings (PSUs) and other key customers, strengthening its position in the market. While the transaction is with a promoter, it’s been confirmed as an arm’s length deal, ensuring fair terms.

This expansion highlights AEGISVOPAK’s commitment to growing its infrastructure and catering to the increasing demand for LPG storage in India. Keep an eye on this space as the company continues to expand its strategic assets! 📈

source: Corporate Announcement

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