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Deal Alert: IDFC PE invests $63-M in Goodearth Maritime

Edited extracts from the press release:

IDFC Private Equity (IDFC PE) has invested Rs.260 crores in Goodearth Maritime Limited (GML), a leading Chennai-based dry bulk shipping company. o3 Capital was the sole advisor to GML for this transaction.

The company intends to use these funds to fund its growth plans for the green-field ship building yard in Tamil Nadu, as well as for its foray into the on-shore and off-shore oil drilling sector. The shipyard is expected to require a total investment of around $500 million in the first phase, with a capacity to build about 25 to 30 ships a year, including VLCCs.

Mr. P.B. Anandam, Chairman, GML, speaking on the occasion, said “We are in the process of making Goodearth Maritime a global shipping company, with a strong shipbuilding base in India. The potential of Indian shipbuilding economics will fully unfold in our yard near Cuddalore with third generation international standards of ship construction. It would give our ship owning a competitive edge in terms of size, quality and our commitment to Indian resources, both human and material.”

Luis Miranda, President and CEO, IDFC PE, said “We have a large portfolio in the transport sector covering ports, airports, roads and logistics, and GML fills the gap in terms of the shipping and ship building sector. This is our largest investment to date.”

About Goodearth Maritime Limited

Goodearth Maritime Limited (GML) is the flagship company of the Archean Group. Archean Group is a large conglomerate of businesses spanning various interests such as Ores and Minerals, Coal, Common Salt, Industrial Chemicals, Shipping and Ship Building and Renewable Energy Resources.

GML owns and operates a fleet of six ships, and has a pipeline of nine ships which are to be delivered over the next three years. It is professionally managed with Mr. S. Madhan as the Managing Director, and is supported by well-trained and skilled staff. GML is also the first Indian company to boast of an in-house design team which caters to the requirements of the company and also for external consulting.

For more information, please visit www.archeangroup.com

About IDFC Private Equity

IDFC Private Equity (IDFC PE) is the largest infrastructure focused private equity investor in India. It manages funds of INR 28,500 Million (USD $630 Million). Some investments of IDFC PE include GMR Infrastructure (Exited), Gujarat State Petronet, Chalet Hotels, Delhi International Airport, L&T Infrastructure developers, Gujarat Pipavav Port, Manipal Education, Manipal Healthcare, Delhi Assam Roadways, SICAL Logistics and Moser Baer Photo Voltaics.

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