Adani Group stocks rally upto 6% on coal terminal sale reports.

MUMBAI: Shares of Adani Group surged higher in trade following media reports that promoters are planning to sell its coal terminal in Australia for $2 billion.

The coal terminal was initially bought by Adani Port but after analysts raised questions of high debt burden of the company, the terminal was bought by Adani family.

If the sale goes through, it will leave enough funds with the promoters to invest in India where opportunities are on a rise with the new government at the centre.

According to media report, Adani group has asked bankers come up with proposals for sale and other options.

Adani Group had proposed to develop a 60 million tonne per annum (Mtpa) thermal coal mine in the north Galilee Basin approximately 160 kilometres (km) north-west of the town of Clermont, Central Queensland.

All coal was to be shipped through coal terminal facilities at the Port of Abbot Point and or the Port of Hay Point.

Adani Port and SEZ's consolidated PAT without considering Abbot Point, increased 43 per cent to Rs 5304.8 million in Q4FY14 as compared to Rs 3700 million, in year-ago period.

Strong results by Adani Enterprises also fuelled up rally in other group stocks. The company posted consolidated net profit of Rs 556.74 crore for the quarter ended June 30, 2014 as compared to a net loss of Rs 278.30 crore in the corresponding quarter last fiscal.

Total Income increased to Rs 16671.55 crore in June, 2014 quarter as against Rs 11,835.54 crore in year-ago period.

Adani Enterprises was at Rs 481, up 5.97 per cent, on the BSE. It rallied 6.17 per cent to touch intraday high of Rs 481.95 in trade today.

Source : economictimes.indiatimes.com