Gateway Distriparks selected to operate container freight station in Navi Mumbai

Gateway Distriparks Ltd has announced that Punjab State Container & Warehousing Corporation Ltd (CONWARE), vide their Letter of Acceptance (LoA) dated December 22, 2006 addressed to the Company have informed that the Company’s bid, submitted on November 24, 2006 in response to CONWARE's Request For Proposal (RFP) for engaging an Operations and Management Contractor for the Container Freight Station (CFS) at Navi Mumbai has been accepted by them at the fee(s) quoted and at the terms and conditions of the bid document.

The CFS is located about 7 Km from JN Port and is well connected to the Port and National Highways. Besides a large container yard, the CFS also has covered storage area of 52,500 sq meters, consisting of 4 warehouses.

The Company will be required to pay one-time upfront fee of Rs 35 crore and an annual fee, which will be Rs 10 crore in the first year.

Punjab Conware commenced operation in August 1999. During the year ended March 31, 2006, the CFS achieved throughput of 55,662 TEUs and EBIDTA of Rs 13.80 crore. Ernst & Young Pvt Ltd were the Financial Advisors to Conware to advise and manage the selection process.

Source : Equity Bulls

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