In a bid to make the best out of the opportunity, the state-run GAIL and Oil India has evinced keen interest in buying Reliance Gas Transport Infrastructure Ltd (RGTIL), which is currently up for sale, said the sources in the know of development.
RGTIL is closely held company by Mukesh Ambani and is involved in gas pipeline business. As per the sources, Ambani has selected JPMorgan, Citi and SBI Caps for the sale and is likely to seek a valuation close to Rs 10,000 crore.
The company was put up for sale after the Ambani noticed the continuous fall in the output from KG D6 Basin following which RGTIL was unable to justify large investments in the pipelines.
Currently, RGTIL operates the Rs 15,000 crore East-West gas pipeline (EWPL) that connects Kakinada to industrial hubs of Karnataka, Maharashtra and Gujarat. In 2007, following the booming output from the Basin, RGTIL was granted the licence to build two pipelines connecting Kakinada-Vizianagaram-Srikakulam and Kakinada-Ennore-Nellore-Chennai. However, the projects were put on hold due to the unavailability of gas.
RGTIL is closely held company by Mukesh Ambani and is involved in gas pipeline business. As per the sources, Ambani has selected JPMorgan, Citi and SBI Caps for the sale and is likely to seek a valuation close to Rs 10,000 crore.
The company was put up for sale after the Ambani noticed the continuous fall in the output from KG D6 Basin following which RGTIL was unable to justify large investments in the pipelines.
Currently, RGTIL operates the Rs 15,000 crore East-West gas pipeline (EWPL) that connects Kakinada to industrial hubs of Karnataka, Maharashtra and Gujarat. In 2007, following the booming output from the Basin, RGTIL was granted the licence to build two pipelines connecting Kakinada-Vizianagaram-Srikakulam and Kakinada-Ennore-Nellore-Chennai. However, the projects were put on hold due to the unavailability of gas.
No comments:
Post a Comment