Sagarmala Finance Corp. Plans $1 Billion Fundraise by FY27 for Maritime Expansion
India's first maritime-focused lender eyes $1 bln FY27 fundraise
The Economic Times
Image: The Economic Times
Sagarmala Finance Corporation, India's first maritime-focused non-banking financial company, aims to raise ₹100 billion (approximately $1.08 billion) by FY27 to enhance lending for ports and shipbuilding. The company plans to enter the bond market in June and has already sanctioned ₹37 billion for two new ports in Andhra Pradesh.
- 01Sagarmala Finance Corp. plans to raise ₹100 billion ($1.08 billion) by FY27.
- 02Funds will support lending for ports, shipbuilding, and waterways.
- 03The company aims to disburse ₹80-90 billion in loans by March 2027.
- 04Sagarmala has sanctioned ₹37 billion for two greenfield ports in Andhra Pradesh.
- 05Aiming for a ₹20 billion equity infusion from the government to maintain a healthy debt-to-equity ratio.
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Sagarmala Finance Corporation, established in 2016 and operating under India's Ministry of Ports, Shipping and Waterways, is set to raise ₹100 billion (approximately $1.08 billion) by the financial year 2027. This funding will primarily support lending for the development of ports, shipbuilding, and waterways. Managing Director L.V.S. Sudhakar Babu revealed that the company plans to enter the bond market for the first time in June 2023. The firm aims to disburse between ₹80 billion to ₹90 billion in loans by the end of March 2027, having already sanctioned ₹37 billion for two greenfield ports in Andhra Pradesh. Additionally, Sagarmala is seeking a ₹20 billion equity infusion from the government to maintain a robust debt-to-equity ratio as it expands its loan portfolio. The company has received an AA+ credit rating from Care and India Ratings, indicating strong financial stability.
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The funding will significantly enhance India's maritime infrastructure, potentially improving trade and economic growth in coastal regions.
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