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Nacil, Singapore firm to set up ground-handling ventures

Press Trust Of India  |  New Delhi 

In a major decision, the government has approved setting up joint venture firms by the Air India’s parent company, Nacil, and Singapore Air Terminal Services (SATS) to provide ground-handling services at major airports, including Delhi and Mumbai.

National Aviation Company of India Ltd (Nacil) and SATS would now be able to form the JV on a 50:50 basis at all these airports, according to the decision taken yesterday, an official spokesperson said here.

In Bangalore, separate JVs would be formed to provide world-class cargo-handling facilities and for carrying out ground-handling services. The project cost of the cargo-handling facility at Bangalore international airport is estimated to be Rs 99.10 crore, out of which Nacil and SATS will contribute Rs 30 crore each to create the share capital.

The balance will be borrowed from banks and financial institutions. Another JV will be created to provide ground-handling services at Bangalore airport. The estimated investment is almost Rs 73 crore, including a share capital of Rs 50 crore.

A similar JV will be created in Hyderabad. The JV firm will invest about Rs 80 crore, of which Rs 60 crore will be the share capital, which will be equally divided between SATS and Nacil.

First Published: Wed, February 18 2009. 00:38 IST
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