According to sources, JSW Infrastructure will invest Rs 152 crore in expanding its container capacity at the New Mangalore Port Trust.
In June 2022, the company opened its first container terminal at New Mangalore Port Trust (NMPT) in Karnataka, which has a cargo capacity of 2.4 lakh TEU.
On May 9, Sajjan Jindal-owned JSW Infrastructure filed the DRHP with capital markets regulator Sebi to raise up to Rs.2,800 crore through an initial public offering (IPO) to pay down debt and support its expansion plans.
“Of the Rs. 2,800 crore the company plans to raise through the initial public offering (IPO), Rs. 152 crore will be spent on expanding container capacity,” the sources said.
According to the plan, the capacity will be increased to 4 lakh TEUs.
The modernization effort will be carried out by JSW Infrastructure’s subsidiary, JSW Mangalore Container Terminal Private Limited (MTPL).
An inquiry sent to the company asking for an answer went unanswered.
The container terminal has a reserve area of 65,000 square meters for storing containers. The container terminal is equipped with six reach stackers, an empty container handler and two mobile harbor cranes.
According to a Crisil report, container traffic is expected to grow 5 to 8 percent in FY2024 compared to FY2023-2028. Smaller ports are expected to add 100 to 130 million tons of capacity between FY2023 and FY2027.