Chennai-based Kamarajar Port Ltd has picked three investment banks for an initial public offering (IPO) that would make it India's first listed state-backed port. The country's first corporate major port has hired SBI Capital Markets Ltd, IDBI Capital Markets & Securities Ltd, and ICICI Securities Ltd as the book-running lead managers for the offer, two people aware of the development told Mint.
The IPO is likely to include an offer for sale of about ₹1,200 crore, while a fresh issue could be decided at a later stage, a document issued by the port earlier in September showed. Valuation discussions are still some time away, but the IPO is likely to be completed within calendar 2027, Mint has learnt.
Emails sent to Kamarajar Port, SBI Capital, IDBI Capital and ICICI Securities on 14 November did not elicit responses until press time. Mint had reported on 13 September that the Chennai Port Authority, which wholly owns Kamarajar Port, had begun the process of seeking up to three bookrunning lead managers to structure and manage the issue.
India's public markets currently have three listed port entities: Adani Ports and Special Economic Zone Ltd (APSEZ), JSW Infrastructure Ltd and APM Terminals-backed Gujarat Pipavav Port Ltd. A successful IPO would make Kamarajar the only listed state-backed port in the country.
Established in 1999, Kamarajar is one of India’s 12 major ports and the country’s first corporate major port, functioning under the ministry of ports, shipping and waterways. Located in Chennai, it was originally developed as Ennore Port and later renamed after former Tamil Nadu chief minister Kumaraswami Kamaraj.
The port was conceived as a satellite facility for Chennai Port, primarily to handle thermal coal for the Tamil Nadu Electricity Board, now Tamil Nadu Generation and Distribution Corp. Its mandate was subsequently expanded to handle other cargo. Today, Kamarajar handles petroleum, oil and lubricants, automobiles and containers, although coal remains its largest cargo.
Kamarajar largely operates under the landlord model, under which new terminals are developed through the build-operate-transfer (BOT) model by private operators. The Centre originally held a 66.7% stake in Kamarajar, with the balance held by Chennai Port Authority.
In 2020, the Authority acquired the government’s entire stake, making Kamarajar its wholly owned subsidiary. Cargo growthKamarajar handled 49.08 million tonnes of cargo and a record 1,008 vessels in fiscal 2026. Net revenue rose 9% to ₹1,239 crore in fiscal year 2026 (FY26) from ₹1,138 crore a year earlier, while net profit increased more than 10% to ₹596 crore from ₹539 crore.
The company paid an interim dividend of ₹3 per share and recommended a final dividend of ₹7 per share for FY26. Kamarajar had ₹186 crore in cash and cash equivalents at the end of FY26, against total assets of ₹4,492 crore and current liabilities of ₹244 crore.
Capital expenditure more than doubled to ₹478 crore from ₹201 crore a year earlier. Kamarajar is unique among India’s state-owned major ports in being incorporated under the Companies Act. The country’s other 11 major state-owned ports operate as statutory authorities under the Major Port Authorities Act, 2021.