Ahmedabad, July 19, 2016:Adani Ports and Special Economic Zone Limited (APSEZ) today informed the Stock Exchanges that Fitch Ratings, Singapore has affirmed India-based APSEZ’s Long-Term Foreign-Currency Issuer Default Rating (IDR) at‘BBB-‘. The Outlook is Stable. The agency has also affirmed APSEZ’s senior unsecured rating at ‘BBB-‘ and the ‘BBB-“ rating on its USD 650m 3.5% senior unsecured note due 2020.

Mr. Karan Adani, Chief Executive Officer of APSEZ said “The rating affirmation is a demonstration of Fitch’s confidence in the management and appreciation of APSEZ’s plans to handle more diversified cargo, especially with a growth in container and coastal volumes. Fitch’s BBB- Stable Outlook to APSEZ is a testimony to our overall strength in the infrastructure space and our leadership position in the Ports Sector”.

This rating ofBBB- Stable(Investment Grade) by Fitch has been affirmed based on Robust Business Model, strong market position and management’s commitment for reduction in related party loans and advances.

Fitch continues to see APSEZ as being well-positioned to benefit from India’s growth and related cargo opportunities. The company, unlike some other rated peers in the region, has significantly better flexibility in infrastructure renewal and expansion capex, which gives it the ability to generate strong free cash flows as mentioned by Fitch in their press release given today.

Fitch believes that the company’s growth will be at 14% (CAGR), profits will improve positive cash flows and APSEZ is committed to recover the related party loans & advances gradually.

The rating would enable APSEZ to continue to tap international markets for long term and low cost funds.