Ennopre Port to raise Rs.1000 Crore throgh debt market

Ennore Port Ltd is planning to raise around Rs 1,000 crore through tax-free bonds to support its expansion and infrastructure development.

The company had approached the shipping ministry to raise the money through tax-free bonds and it, in turn, had asked the finance ministr's nod and the Central Board of Direct taxes.

On the initial public offering plan, The company will stick to tax-free bonds. IPO will be considered after the mega container terminal goes on stream, which will give better valuation for the port. So it can expect to public by 2014 when the container terminal commissions operations.

The port had earlier planned to dilute 10 per cent to raise Rs 400-500 crore, but this was delayed citing poor market condition. The proposed fund would support various infrastructure projects to the tune of Rs 1,500 crore, said Velumani. Earlier the shipping ministry officials said this in turn would bring in Rs 6,500 crore. The port has lined up 14 projects worth Rs 6,466 crore. These include three dredging projects, seven terminals and four connectivity rail and road projects.