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Safesea, NRI-led group, Megha Engg shortlisted for Shipping Corp stake

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MUMBAI : US-based Safesea, Megha Engineering and Infrastructure and a consortium led by NRI businessman Ravi Mehrotra have been shortlisted as potential patrons for the federal government of India’s stake in (SCI).The three bidders, who had submitted expressions of curiosity (EoIs) for the ship proprietor on March 1, have certified after assembly technical and monetary standards and receiving safety clearances.

Safesea, Megha Engineering and Infrastructure and Ravi Mehrotra’s Foresight Group confirmed having certified for the subsequent spherical of the bidding course of when contacted.

Among different events that had submitted an EoI was a consortium of personal fairness agency Bain Capital and delivery firm JM Baxi. The consortium is alleged to have encountered a technical challenge with its software, based on knowledgeable sources.The three shortlisted bidders will probably be issued a request for proposal and signal a confidentiality endeavor after which they are going to be permitted to hold out due diligence on the ship proprietor, as per situations specified by a preliminary info memorandum that was issued by the federal government on December 22.

The authorities is promoting its 63.75% stake in SCI. The profitable acquirer may also need to make an open provide for an additional 26% within the firm held by the general public shareholders as per change of management or takeover norms prescribed by the Securities and Exchange Board of India. GoI’s division of funding and public asset administration is the nodal physique supervising the privatisation train. SCI’s shares had been buying and selling at ₹ 115 apiece on the shut of buying and selling on Thursday. Based on this, a possible acquisition might price the profitable bidder about ₹4,813 crore or $652 million.


However, the delivery firm will carve out its actual property earlier than its privatisation as per a authorities directive. It owns an workplace constructing in South Mumbai and high-rise residential buildings within the metropolis in addition to a coaching institute. This might scale back the worth that the acquirer pays for the corporate if solely the core delivery enterprise is transferred, based on individuals within the know.

SCI is concerned within the enterprise of transporting items and passengers. Its personal fleet consists of bulk carriers, crude oil tankers, product tankers, container vessels, passenger-cum-cargo vessels, LPG/ammonia carriers and offshore provide vessels.

As of November 30, 2020, the corporate owned a fleet of 59 vessels. The firm clocked income of Rs 4,668 crore for the monetary 12 months ended March 31, 2020 and revenue of Rs 336 crore.

Safesea is a New Jersey-headquartered delivery firm began by Indian-origin businessman SV Anchan 20 years in the past. It owns a fleet of 14 vessels and has trans-continental operations. PV Krishna Reddy-promoted Megha Engineering and Infrastructure is a diversified group with pursuits spanning oil drilling, building, aviation, media and energy.

UK-based Mehrotra is a former Shipping Corporation of India worker and began his profession with the general public sector firm in 1964 as a marine engineer. He subsequently arrange Foresight Group in London in Eighties.

The firm is engaged within the enterprise of oil drilling.

Source : Pehal News

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