Container Corporation of India (CONCOR) is working on a 35-year lease agreement with Indian Railways, V Kalyana Rama, CMD of the company, said on June 8.
“We have not yet signed the agreement, the work is in progress. We are very hopeful that these things will happen,” he told CNBC-TV18 in an interview.
The company intends to take the upfront loan amounting to Rs 3,500 crore for the lease with Railways. “When we do this as a corporate governance practice, we will inform the stock exchange and the investors that we are exploring the possibility,” he said.
Last year CONCOR made a profit after tax (PAT) of around Rs 500 crore. “This year we are expecting Rs 1,000 crore PAT,” he stated.
Rama added that the demand is good and exports have picked up too. “We are procuring a lot of rakes. We have got nine rakes as on date and as a whole, we will add another 35-40 rakes in this year,” he said.
For the full interview, watch the accompanying video
(Edited by : Kanishka Sarkar)