JM Baxi ports to bid for port associated projects worth Rs 7,000 crore

In the next five years, JM Baxi Ports & Logistics Limited (JMBPLL), an integrated marine logistics services provider, plans to bid for several forthcoming ports and associated projects totalling 7,000 crore, including rail linkages, warehouses, highways, and cold chain facilities.

Dhruv Kotak, managing director of JMBPLL, told the media that the Government of India's (GOI) National Monetisation Pipeline is lining up 30-to-40 projects in the next 3-to-5 years.

The bidding opportunity for emerging projects for the privatisation of major ports (including on a BOT basis) will be worth around 20,000 crore, he said, citing GOI initiatives such as the National Infrastructure Pipeline and National Monetisation Pipeline, PM Gati Shakti, and the PLI scheme.

Kotak said that they want to bid for big port projects for anywhere between 3,000 and 5,000 crores out of this huge pie, adding that the bids will be subject to several feasibilities and competitive bidding requirements.

He added that JMBPLL plans to bid an additional 1,500 to 2,000 crore in largely brownfield projects in the port-linked land infrastructure sector over the next five years.

He said that the projected investment in these projects would be funded by a combination of loans, internal accruals, and even the capital market.

The company is planning a 2,500 crore Initial Public Offering (IPO) in which private equity firm Bain Capital would leave partially. During the pandemic, Bain Capital spent Rs 1,500 crore on the firm.

The IPO will include a new issue for organic development efforts, such as building a solid balance sheet that anticipates future growth opportunities.

With five ports and four logistical assets, the firm provides specialised logistics solutions to a variety of stakeholders. It plans to have one complete port terminal staffed entirely by women.

Paradip port, India's second-biggest multifunctional major port and Odisha's first container handling facility with great development potential, is being expanded by JMBPLL. It has increased capacity utilisation to 70% and currently only handles clean goods and containers at Paradip.

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