The government has begun preliminary work on a potential initial public offering (IPO) of Jawaharlal Nehru Port Authority (JNPA), India's largest container port, and has engaged state-backed investment banks to start regulatory processes for the proposed share sale, two people aware of the matter told Mint.

The discussions remain at an early stage, with no valuation or timeline decided yet. The people said the government is focusing on preparing JNPA to meet the compliance and reporting standards required for a listed entity before formal work on pricing and deal structure begins.

"The current phase involves hand-holding the authority through the compliance and reporting standards required for a public listing," one of the people told Mint. The person added that no discussions on valuation had taken place so far.

The IPO will require approvals from the ports ministry and the port authority. The proposal forms part of the Centre's National Monetisation Pipeline, which aims to raise capital through asset monetisation.

IPO preparation under way

One of the people cited above said the process involves several departmental approvals and follows a structured regulatory path before a formal filing can take place.

A successful listing would make JNPA only the second state-owned Indian port to move towards public markets after Kamarajar Port received in-principle approval from the Ministry of Ports, Shipping and Waterways earlier this year.

Located near Mumbai on the eastern shore of the Arabian Sea, JNPA began operations in 1989. The port operates 5 terminals, including 4 container terminals and 1 multipurpose terminal. Under the landlord port model, JNPA retains ownership of port infrastructure while private operators manage terminal operations through long-term concessions.

Private operators at JNPA include DP World, PSA International, APM Terminals and a joint venture between JM Baxi Group and CMA Terminals.

Cargo volumes and finances

JNPA handled 7.56 million twenty-foot equivalent units (TEUs) of container traffic in FY25, accounting for about 25 per cent of India's total container throughput. Cargo volumes rose 7.3 per cent year-on-year from 7.12 million TEUs in FY24.

The port's operating income increased 25 per cent in FY25 to Rs 2,053 crore, while net profit rose to Rs 3,262 crore, according to an ICRA report cited by Mint.

In FY26, JNPA's cargo handling capacity is expected to rise to 10.2 million TEUs. While the port's primary business remains container handling, it also operates a dry bulk terminal.

The Centre aims to raise about Rs 83,461 crore through asset monetisation in FY26. JNPA had reserves and surplus of Rs 14,613 crore as of March 31, 2025, according to the report.

Source: ET Infra. Com 

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