India,Indonesia,Mozambique : AION launches a conglomerate with APOLLO, ICICI & MERCATOR for Rs 450 crore deal.
AION will invest through a structured deal, with a combination of equity and debt. Mercator will expand its oil and gas business by acquiring an LPG carrier from Varun Shipping, will use the fund for vessel buyouts and clearing its debts.
Mercator consolidated debt of Rs 3,500 crore at the end of FY13. After the acquisition from Varun Shipping for about $30 million. Mercator is the top bidders for acquisition of a second Anchor Handling Tug Supply vessel from Varun. It posted a net profit of Rs 8.8 crore on a consolidated basis compared with a loss of Rs 340 crore in December.
Shipping companies engaged in heavy investments in the pre-crisis period on expectations that demand will pick up. In the backdrop, these companies were not able to service debt, as the revenue stream failed to grow as expected.
Coal mining, procurement and logistics contribute 60% of company revenue. Under its Offshore Oil and Gas Services business, Mercator owns 2 oil & gas blocks in Gujarat's Cambay basin.
2014 Al Bawaba (Albawaba.com) Provided by Syndigate.info , an Albawaba.com company
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|Date:||Apr 8, 2014|
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