The company developing what is set to be India’s largest port, Vadhvan Port Project plans to raise up to ?30,000 crore (USD 3.5 billion) in debt, offering lenders a chance to invest in a key project of Prime Minister Narendra Modi’s infrastructure transformation.

Situated a few hours north of Mumbai, the project’s owners are targeting debt with 15 to 20-year tenors and are exploring both onshore and offshore funding avenues. “We have started the process of raising debt which will happen in two phases,” said, Chairman of Jawaharlal Nehru Port Authority (JNPA), which holds a 74 percent stake in the project. The Maharashtra Maritime Board owns the remaining 26 percent.

The Rs 75,000 crore (USD nine billion) port, whose foundation stone was laid by Modi, is expected to be operational by decade’s end, with a handling capacity of 23 million containers, placing it among the top 10 ports globally. IDBI Capital has been appointed advisor for the first funding round targeting at least Rs 22,000 crore. JNPA and MMB will infuse Rs 13,000 crore in equity.
The project also supports India’s Maritime Development Fund and aims to anchor the India-Middle East-Europe Corridor.