The Department of Investment and Public Asset Management (DIPAM) has started a pre-expression of interest (EoI) roadshow of potential bidders as of today, in order to measure investors' interest in the divestiture process of Container Corporation of India (Concor), according to an exchange filing.
The roadshow will be held virtually, till October 21, the filing added.
The Union Cabinet approved a policy last month that altered the charge for railroad land licencing. A circular that confirmed the Cabinet decision and said that existing landholders might extend their lease for an additional 35 years was issued on October 4 as a result.
ALSO READ: Global brokerages foresee up to 25% upside in Concor after a cut in railway land licensing fee
In addition to increasing investment in the infrastructural facilities of the Indian Railways, such as freight terminals and public utilities, the decision is anticipated to hasten the government's stake sale in Concor.
Also read: Mc Explains: How will the government's land leasing policy expedite the divestment of CONCOR?
The change complies with the NITI Aayog's recommendation to maintain the rate for leasing railroad land for containers below 3 percent.
The government is attempting to entice private investors to purchase its 30.8 percent share in Concor, which accounts for almost Rs 8,000 crore.
Numerous industry experts anticipate that the new land leasing regulation will not only assist Concor lower its land leasing costs, but also provide clarity on the company's inland container terminals (ICDs).
Concor, owned by the railway ministry, transports and handles containers. Additionally, it operates logistics facilities which includes dry ports.
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