Disinvestment of 100% Govt. of India’s equity in the DCIL

•  The Cabinet Committee on Economic Affairs has given ‘in principle’ approval for strategic disinvestment of 100% Government of India's shares in DCIL to consortium of four ports namely, Vishakhapatnam Port Trust, Paradeep Port Trust, Jawahar Lal Nehru Port Trust and Kandla Port Trust.
• Presently the Government of India holds 73.44% shares in Dredging Corporation of India Limited.
• The approval will further facilitate the linkage of dredging activities with the ports, keeping in view the role of the DCIL in expansion of dredging activity in the country as well as potential scope for diversification of ports into third party dredging.
• The co-sharing of facilities between the company as well as ports shall lead to savings for ports. This would further provide opportunities for larger investment in DCIL as integration with ports shall help ineffective vertical linkage in the value chain.
• The strategic disinvestment of DCIL shall be undertaken after conducting due diligence exercise by both the entities with the help of Advisors, appointed for the transaction.

About Dredging Corporation of India Limited (DCIL):

• The Dredging Corporation of India Limited (D C I) was established in the year 1976 to provide dredging services to the Major Ports of the country in India.
• D C I is a pioneer organization in the field of dredging and maritime development. D C I is fully equipped to offer the complete range of dredging and allied services to the users in India and Abroad and to provide the vital inputs for the national development.
• It's Head Office is strategically situated on the east coast of India at Visakhapatnam, DCI helps to ensure continuous availability of the desired depths in the shipping channels of the major and minor Ports, Indian Navy, Fishing Harbors and other maritime organizations.
• It further serves the Nation in a variety of ways, be it capital dredging for creation of new harbors, deepening of existing harbors or maintenance dredging for the upkeep of the required depths at various Ports along the 7,500 Kms coastline of India.

By: Vishal