Power Finance Corporation to underwrite Rs 273 bn debt for Vadhavan Port
PORTS & SHIPPING

Power Finance Corporation to underwrite Rs 273 bn debt for Vadhavan Port

Power Finance Corporation (PFC) has expressed its willingness to underwrite the entire debt of Rs 272.83 billion for the construction of a mega port at Vadhavan near Dahanu in Maharashtra?s Palghar district.

They mentioned that if and when the deal is finalized, it would mark the largest debt financing for a port project in the country.

It was stated that the planned mega port would be designed to handle around 298 million tonnes (mt) of cargo annually, requiring an investment of Rs 762.20 billion.

During a meeting between R R Jha, Director (Projects) and his team from the Power Finance Corporation, and Unmesh Wagh, Deputy Chairman and Chairman in Charge of Jawaharlal Nehru Port Authority, discussions revolved around financing for the port project. It was noted that the project is pending final approval from the Union Cabinet, having already secured environmental and coastal regulation zone clearance, as well as backing from the Public Investment Board.

An official familiar with the matter commented, ?PFC?s commitment to finance the entire debt amount signifies a pivotal moment for the development of Vadhavan Port.?

Power Finance Corporation, categorised as an infrastructure finance company by the Reserve Bank of India, is a Maharatna PSU and a Non-Banking Finance Company (NBFC).

The Jawaharlal Nehru Port Authority (JNPA), a state-owned entity overseeing the construction of Vadhavan Port, has engaged IDBI Capital Markets and Securities Ltd as the transaction advisor to raise funds for the project.

Under the landlord model, as per government policy, the new port will be developed by Vadhvan Port Project, a joint venture between JNPA (with a 74 percent stake) and Maharashtra Maritime Board (holding 26 percent equity), in two phases.

Power Finance Corporation (PFC) has expressed its willingness to underwrite the entire debt of Rs 272.83 billion for the construction of a mega port at Vadhavan near Dahanu in Maharashtra?s Palghar district. They mentioned that if and when the deal is finalized, it would mark the largest debt financing for a port project in the country. It was stated that the planned mega port would be designed to handle around 298 million tonnes (mt) of cargo annually, requiring an investment of Rs 762.20 billion. During a meeting between R R Jha, Director (Projects) and his team from the Power Finance Corporation, and Unmesh Wagh, Deputy Chairman and Chairman in Charge of Jawaharlal Nehru Port Authority, discussions revolved around financing for the port project. It was noted that the project is pending final approval from the Union Cabinet, having already secured environmental and coastal regulation zone clearance, as well as backing from the Public Investment Board. An official familiar with the matter commented, ?PFC?s commitment to finance the entire debt amount signifies a pivotal moment for the development of Vadhavan Port.? Power Finance Corporation, categorised as an infrastructure finance company by the Reserve Bank of India, is a Maharatna PSU and a Non-Banking Finance Company (NBFC). The Jawaharlal Nehru Port Authority (JNPA), a state-owned entity overseeing the construction of Vadhavan Port, has engaged IDBI Capital Markets and Securities Ltd as the transaction advisor to raise funds for the project. Under the landlord model, as per government policy, the new port will be developed by Vadhvan Port Project, a joint venture between JNPA (with a 74 percent stake) and Maharashtra Maritime Board (holding 26 percent equity), in two phases.

Next Story
Real Estate

Capacit’e Infraprojects Wins Rs 6.21 billion order from Saifee Burhani Upliftment Trust

Capacit’e Infraprojects has secured a Letter of Intent (LOI) worth Rs 6.21 billion (excluding GST) from Saifee Burhani Upliftment Trust (SBUT) for the execution of core and shell works, finishing, MEPF services, and other associated components of the redevelopment project—Sector 07 of the Saifee Burhani Upliftment Project—located at Ward ‘C’, Bhendi Bazaar, Mumbai. This is the third repeat order from SBUT to Capacit’e Infraprojects, underscoring the trust and satisfaction of a long-standing client in the company’s project delivery capabilities. Commenting on the develop..

Next Story
Resources

K Raheja Corp's Volunteering Drive Brings Back-to-School Cheer for Underprivileged Kids

Real estate major K Raheja Corp concluded its latest community initiative under the ‘Time Off for Volunteering’ programme, titled Paint a Pair, Show You Care. Held in association with NGO ConnectFor, the campaign was part of a larger 'Back to School' drive aimed at supporting underprivileged students from the Jhanvi Charitable Trust. More than 45 employees from across group companies—Mindspace Business Parks, Chalet Hotels Ltd., K Raheja Corp Homes, and Inorbit Malls—came together to hand-paint over 60 pairs of canvas shoes for children preparing to return to school. Volunteers al..

Next Story
Infrastructure Urban

CCI Worldwide Logistics Launches ‘Trans Africa’ Freight Service

CCI Worldwide Logistics, the international freight forwarding arm of the CCI Group, has launched ‘Trans Africa’—a technology-led logistics platform aimed at streamlining cross-border trade across Africa. The company is investing Rs 1.06 billion in the initiative, targeting an annual freight volume of 5,000 TEUs by air and sea, with an estimated 15 per cent return on investment. The service is being rolled out in key markets such as Nigeria, Kenya, South Africa, Ghana, and Egypt, with planned expansion into Francophone West Africa, Central Africa, and landlocked nations including Uga..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?