Adani Ports and Special Economic Zone Limited (APSEZ) received a credit rating upgrade from S&P Global Ratings on 25 June 2026, with its long-term issuer credit rating and senior unsecured notes raised to 'BBB' from 'BBB-', carrying a 'Stable' outlook. The upgrade places APSEZ at par with India's sovereign credit rating assigned by S&P — a significant milestone for an Indian infrastructure company.

What Drove the Upgrade

S&P cited APSEZ's robust cash generation, its ability to fund an ambitious expansion programme while maintaining healthy leverage, and a tightened internal leverage policy as the primary drivers of the rating action. The agency also highlighted the company's growing and diversified portfolio of infrastructure assets as a foundation for strong, recurring cash flows.

According to S&P, APSEZ's strong financial position provides significant headroom to support its growth strategy, which includes scaling domestic port capacity from 653 million tonnes currently to 1 billion tonnes by 2030.

Capital Expenditure Outlook

The rating agency expects APSEZ's annual capital expenditure to rise to approximately ₹18,000 crore in fiscals 2027 and 2028, and further to ₹20,000 crore in fiscal 2029, up from historical levels of around ₹13,000 crore. Despite this elevated spending trajectory, S&P indicated that the company's financials can accommodate the high growth outlay without straining its credit profile.

What the Company Said

Ashwani Gupta, Whole-time Director and Chief Executive Officer of APSEZ, called the upgrade a landmark achievement. 'This S&P upgrade is a landmark achievement for the company. Attaining a rating at par with India's sovereign rating reflects the strength of our business model, the resilience of our cash flows, the quality of our infrastructure assets, and our unwavering commitment to financial discipline,' Gupta said.

He added: 'This upgrade comes at a time when APSEZ is executing one of the most ambitious growth programmes in the global ports and logistics sector and is testament to APSEZ's disciplined approach to capital allocation.'

Context: A Rare Feat for Indian Corporates

This is not the first international recognition of APSEZ's credit strength. In January 2026, the Japanese Credit Rating Agency (JCR) assigned APSEZ an 'A-/Stable' rating — a rare instance of an Indian corporate breaching the sovereign threshold with an international agency. The S&P action now reinforces that trajectory, positioning APSEZ among a select group of Indian companies to match or approach sovereign-level ratings from multiple global agencies.

This comes amid broader trade tensions and competitive pressures in the global transportation sector, conditions that S&P acknowledged APSEZ has navigated across business cycles without material credit deterioration. With capacity expansion targets set for 2030 and capex scaling through fiscal 2029, the company's next test will be sustaining this financial discipline through the execution phase of its growth programme.