Business Daily from THE HINDU group of publications
Friday, Jan 21, 2011
ePaper | Mobile/PDA Version | Audio | Blogs

News
Features
Stocks
Foreign Exchange
Shipping
Archives
Google

Group Sites

Logistics - Shipping/Ports
Ennore Port gets board nod to go public


The company will seek to divest around 10 per cent of the equity to raise Rs 500 crore.




A file photo of the Ennore port.

T.E. Raja Simhan

Chennai, Jan . 20

Ennore Port Ltd (EPL), India's first corporate port, has got in-principle approval from its board to go public. The proposal will now go to the Disinvestment Commission for its approval and also to finalise the quantum of funds to be raised, according to sources.

The Central Government owns 68 per cent and the Chennai Port Trust 32 per cent in EPL.

While EPL may require funds of over Rs 800 crore in the short term to undertake various infrastructure projects, it will seek approval to raise around Rs 500 crore from public. This means, it will divest around 10 per cent of the equity, according to an EPL official. “We do not know the timing of the issue. It all depends on how quickly we get the approval from the Central agencies,” he said.

Speaking at a function here, Mr G.K. Vasan, Union Minister for Shipping, said EPL has lined up 14 projects worth Rs 6,466 crore. The projects include dredging (Rs 440 crore), various terminals, and rail and road connectivity.

EPL, during the fiscal ended March 31, 2010, handled 10.70 million tonnes (mt) of cargo against 11.50 mt in the previous year.

According to the Maritime Agenda 2010-20 released last week by Mr Vasan, Ennore Port traffic is projected to increase to 67.44 mt in 2016-17 and 71.54 mt in 2019-20. Against this projected traffic growth, the port's capacity is expected to increase from the existing 16 mt (as on March 31, 2010) to 73 mt in 2016-17. The major economic activities through which traffic and capacity will rise are development of LNG and coal terminals and expansion of outer harbour stage II and development of container terminal, respectively.

Related Stories:
Japanese companies push for Ennore Port connectivity
Ennore Port to approach Ministry with IPO proposal

More Stories on : Shipping/Ports

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page



Stories in this Section
Emirates partners DHL in e-freight initiative


Lanka-East Africa air link, a boon for S. Indian travellers
Restoring Air India's financial health possible, says Praful Patel
Improving Air India, a priority: Vayalar Ravi
Ennore Port gets board nod to go public
Correction
TCI Q3 net flat at Rs 11.83-cr
Eastern Rly earnings go up
Kamal Nath to focus on urban transport
Joshi keen to use IT to get feedback on highways



The Hindu Group: Home | About Us | Copyright | Archives | Contacts | Subscription
Group Sites: The Hindu | The Hindu ePaper | Business Line | Business Line ePaper | Sportstar | Frontline | The Hindu eBooks | The Hindu Images | Home |

Copyright 2011, The Hindu Business Line. Republication or redissemination of the contents of this screen are expressly prohibited without the written consent of The Hindu Business Line