The Hindu Business Line : Company being formed for Vizhinjam port

THE Kerala Government is learnt to have finalised the formation of a company to take up the implementation of the proposed international container trans-shipment hub at Vizhinjam, near here.

According to officials of the Ports Department, the company will have an authorised capital of Rs 5 crore and a paid-up capital of Rs 50 lakh.

The equity of the company, which will be fully owned by the State Government initially, is slated to be divested gradually to the extent of 50 per cent in favour of non-resident Keralites and financial institutions.

The company will later enter into a joint venture with the private promoter of the port.

The department had received seven expressions of interest, both from domestic and foreign firms, for the development of the port and it has fixed November 30 as the last date for receiving detailed proposals from them.

Meanwhile, the department has roped in Infrastructure Leasing and Finance Services (IL&FS) to evaluate the techno-economic proposal submitted by Parissons Group for the development of Beypore port, near Kozhikode.

The proposal has been structured by PricewaterhouseCoopers.

Parissons Group had entered into a memorandum of understanding with the State Government for the development of the port, estimated to cost Rs 500 crore, at the Global Investors Meet held in Kochi.

A final decision on the proposal submitted by the group is likely to be taken within the next three months.