Adani Enterprises buys out Glencore's stake in JV

New Delhi: Adani Enterprises Tuesday said it has bought its partner's 49 percent stake in Chemoil-Adani Pte Ltd joint venture, which supplies bunker fuel to vessels in Mundra and other ports.

Adani Enterprises and Chemoil Energy, a subsidiary of Glencore, had formed a JV, Chemoil-Adani Pte Ltd for supplying bunker fuel to vessels.

"Chemoil Energy Ltd, a subsidiary of Glencore, and Adani Enterprises Ltd announced today that Chemoil has sold to Adani its 49 percent interest in Chemoil-Adani Pte Ltd," the Gautam Adani-led firm said in a regulatory filing.

"Going forward, Chemoil will no longer be associated with the business, which will be fully-owned and managed by Adani and renamed Adani Bunkering Pvt Ltd," the filing said.

Chemoil-Adani Pte Ltd supplies bunker fuel to vessels in Mundra and other ports in India, it added.

A joint statement by Chemoil and Adani Enterprises said that the JV was very successful in starting and growing the business into a major supplier in the Indian bunker market.

"Both parties now feel that the time is right to separately pursue their own strategies in this important and rapidly growing market. Glencore and the Adani group have a long and successful association in a number of businesses around the world, and will continue to do so where they see shared opportunities," the statement added.

Shares of Adani Enterprises today rose by 2.25 percent to close at Rs 84.20 apiece at the BSE.