Krishnapatnam port gets Rs. 10,000cr hub

The Hyderabad-based CVR Navayuga group, which owns the Krishnapatnam port in Nellore district of Andhra Pradesh, has decided to inject Rs. 10,000-cr to expand the port facilities and to set up a world class industrial hub, Managing Director, Chinta Sasidhar said, adding that the group is in the process of setting up an industrial hub in the district housing power plants and refineries among other units. The total amount invested into the development of the port is in excess of Rs 8,000-cr and that the company's debt equity ratio is about 3:1 and that the total borrowings stand at Rs 6,000-cr and net worth of Rs 2,000cr.

The player is scouting for fresh funds to part-finance its expansion plans which may require over Rs. 8,000-cr in the form of a mix of equity or equity-linked instruments and that a few Japanese investors have shown interest in the mega port project. The company is planning to develop an industrial smart city adjacent to the port and is in the process of forming SPV along with the state government and the Japan International Cooperation Agency (JICA) for developing the hub stretching across 6,000 acres.