Asian arm of *InfraCo *may buy 45% stake in *RIL*’s *Reliance Haryana SEZ Pvt. Ltd *located at Jhajjar and Gurgaon.
Currently Reliance Industries owns 90% in the SEZ while *Haryana State Industrial and Infrastructure Development Corporation *owns the rest. The project is spread over 25,000 acres with the enterprise value of Rs 30,000-crore ($6.6bn). Transaction Note InfraCo focuses on infrastructure projects in lower income countries in Asia and Africa. It takes equity in early-stage, high-risk projects and participates in the development these projects. It is funded by Private Infrastructure Development Group, a multi-lateral body comprising of countries from EU and World Bank. InfraCo’s Asian office in Singapore is headed by *Surendra Singh*, who was previously working with *AES Corporation*, heading its Asian operations. He has previously worked with *Merrill Lynch *and *IDBI*. Announced in 2006, the Reliance Haryana SEZ was planned as one of the biggest multi-product SEZs, with provision for a cargo airport and a 2,000-mw power plant. It had set a target of providing around 5 lakh jobs. RIL has so far invested Rs 3,000 crore ($666mn) and bought around 8,000 acre of land. RIL has sought Haryana’s permission to convert part of the project into an industrial model township, to develop the project’s real estate potential. InfraCo is expected to bring in capital and development expertise which will help RIL share the risks involved in the project. It also means that RIL’s capital expenditure burden will reduce in the future. The project has a long gestation period and interim revenues are expected to be low. The past three years has seen many political and regulatory hurdles for the project to start. -- Regards Hardik Shah -- You received this message because you are subscribed to the Google Groups ""GLOBAL SPECULATORS"" group. To post to this group, send email to [email protected]. To unsubscribe from this group, send email to [email protected]. For more options, visit this group at http://groups.google.com/group/globalspeculators?hl=en.
