India’s Adani Ports and Special Economic Zone Ltd said on Tuesday it was withdrawing its $553 million loan request from the U.S. International Development Finance Corp (IDFC) for its Colombo port terminal project, and stated that it would finance through internal accruals and a capital management plan.
The company, however, said the Colombo West International Terminal project is progressing well and is on track for commissioning by early 2025.
Adani Group, controlled by Indian billionaire Gautam Adani, holds a 51% stake in the west container terminal of the port, which also has a terminal run by China Merchants Port Holdings Co Ltd.
Sri Lankan conglomerate John Keells Holdings owns 34% of the terminal and the rest is held by the state-run Sri Lanka Ports Authority.
Last month, U.S. authorities indicted Adani Group Chairman Gautam Adani and seven others of being part of a $265 million scheme to bribe Indian officials, and of misleading U.S. investors while raising funds there.
The ports-to-power conglomerate has termed the allegations “baseless” and said it would seek “all possible legal recourse”.
Source: Reuters
