CHENNAI: Reliance Industries is said to have quoted the highest minimum guaranteed revenue share for the Multi Modal Logistics Park (MMLP) planned near Chennai.
In the first face-off between billionaires on a business in which Gautam Adani is the undisputed king, Mukesh Ambani-led Reliance Industries Ltd is said to have emerged the highest bidder for developing and operating India’s first MMLP planned by the Union Government at Mappedu near Chennai in Tamil Nadu’s Thiruvallur district.
Multiple sources said that the price bid placed by Reliance Industries in the closely contested tender is understood to be the “highest” in terms of the minimum guaranteed revenue share based on the net present value discounted at a certain rate – the bid parameter that decides the winner.
Reliance Industries Ltd and Adani Logistics Ltd, a wholly owned unit of Adani Ports and Special Economic Zone Ltd (APSEZ), were the two bidders that had qualified for the first MMLP under the Bharatmala Pariyojana.
Reliance Industries is said to have quoted a minimum guaranteed revenue share of some Rs459 crore – the amount it will pay the National Highways Logistics Management Ltd (NHLM) – over a concession period of 45 years, compared to about Rs400 crore quoted by Adani Logistics.
The minimum guaranteed revenue share will begin from the third year of starting commercial operations.
A MMLP is a cargo consolidation and distribution centre using multiple modes of transport to achieve scale in shipments and provides various logistics and other value-added services.
It acts as an intermodal freight-handling facility with mechanized material handling provisions that contains warehouses, specialized cold chain facilities, freight/container terminals, and bulk/break-bulk cargo terminals.
