Thiruvananthapuram, July 1: The Vizhinjam port stake transfer has become a major topic in Kerala after Chief Minister V.D. Satheesan said Adani Ports cannot transfer its stake in the Vizhinjam International Seaport without the state government’s approval.
Speaking in the Kerala Assembly on Wednesday, the Chief Minister said the government has not received any official request from Adani Ports for the proposed stake transfer. He added that the company must obtain approval before moving ahead with the deal.
Vizhinjam Port Stake Transfer Requires State Approval
V.D. Satheesan said the concession agreement clearly states that Adani Ports must get approval from the Kerala government before transferring its shares. In some cases, the company may also need approval from the Central Government.
The Chief Minister said media reports have discussed the proposed transaction. However, the company has not submitted any formal application to the state government.
Adani Ports Announces MSC Investment
On Tuesday, Adani Ports and Special Economic Zone (APSEZ) announced that Terminal Investment Limited (TiL), a subsidiary of the Mediterranean Shipping Company (MSC), will acquire a 49% stake in the Vizhinjam International Seaport.
APSEZ said TiL will invest $1.397 billion. This amount represents its share in the total deal value of $2.85 billion.
The company said the partnership is the largest foreign private investment in India’s port sector. It also believes the investment will strengthen Vizhinjam’s role as a major transshipment hub in the Indian Ocean.
Kerala Government Yet to Receive Proposal
The Kerala government has made it clear that the Vizhinjam port stake transfer cannot move forward without official approval.
Chief Minister V.D. Satheesan said the government will examine the proposal only after the company submits a formal request. Until then, no permission has been granted.
Why Vizhinjam Port Is Important
The Vizhinjam International Seaport is one of India’s biggest deep-water port projects. It has a strategic location near major international shipping routes. Many experts believe the port will boost cargo movement, attract global investments, and strengthen India’s maritime trade.
The proposed investment by MSC has drawn international attention. At the same time, the Kerala government has said that all legal and contractual conditions must be followed before the stake transfer receives approval.