Ports take charge of dredging
The Government has approved Strategic Disinvestment of 100% GOI shares in Dredging Corporation of India Limited (DCI) in favour of a consortium of 4 ports, namely, Visakhapatnam Port Trust, Paradip Port Trust, Jawaharlal Nehru Port Trust and Deendayal Port Trust.
The share purchase agreement was executed between GOI and the four ports on 8 Mar 2019. With this the 73.47% holding of GOI in DCIL has been transferred to the four ports:
Visakhapatnam Port Trust (5,451,710 shares or 19.47% of paid up share capital);
Deendayal Port Trust (5,040,101 shares or 18%);
Jawaharlal Nehru Port Trust (5,040,101 shares or 18%);
Paradip Port Trust (5,040,101 shares or 18%).
The Government has mobilized a total amount of Rs.1,049 crore by this strategic sale.
With this transfer of shares, the management and control of the company has been also transferred to the four Ports.
With this transfer of the shares and management and control of the company, it is expected that DCI will have more operational and financial freedom in decision making which would enable the Company to take up and execute more works in an efficient way.
DCI was incorporated on 29 March 1976 as wholly owned Government of India Undertaking with the primary objective of catering to the dredging requirements of Indian ports.
DCI was initially incorporated as a 100% Government owned company but was disinvested 1.44%, 20%, 5% and subsequently 0.09% (employee offer) in the years 1992, 2004, 2015 and 2016, respectively.
DCI undertakes Capital Dredging, Maintenance Dredging, Beach Nourishment, Land Reclamation, Shallow water Dredging, Project Management Consultancy and Marine Construction for Major Ports, Indian Navy etc. fiinews.com