Mahindra & Mahindra's special economic zone has finally started to take shape. The shareholders' agreement, for the development of 2,500 acres of the SEZ and 500 acres of domestic tariff area (DTA) near Jaipur, on the Jaipur-Ajmer national highway, was signed yesterday. |
The meeting included the Rajasthan State Industrial Development & Investment Corporation Ltd (RIICO), Mahindra GESCO Developers Ltd (MGDL) (an infrastructure arm of Mahindra & Mahindra Ltd) and Mahindra World City (Jaipur) Ltd "" the project company which will implement the project. |
A state-support agreement was also signed by the Rajasthan government and Mahindra World City (Jaipur) Ltd. Ashok Sampatram, principal secretary industries, signed the state-support agreement on behalf of the government. |
Kuldeep Ranka, managing director, signed the shareholders' agreement on behalf of RIICO. |
Mahindra & Mahindra Ltd Executive Director Arun Nanda signed the shareholders' agreement and state-support agreement on behalf of MGDL. |
As per the shareholders' agreement, RIICO will have 26 per cent equity in Mahindra World City (Jaipur) Ltd. The other 74 per cent will be held by Mahindra GESCO Developers Ltd. The SEZ will be set up on approximately 2500 acres. |
There will be ten directors on the board of Mahindra World City (Jaipur) Ltd; of which four will be nominated by RIICO and six by MGDL. |
As per the state-support agreement, the state government will provide infrastructure support for the SEZ and the DTA. |
After the two agreements, progress on the SEZ will soon be visible, government officials said. The Centre has already approved a SEZ for information technology on 175 acres. |
The government has also given in-principle approval for a multi-product SEZ on approximately 2500 acres. |
The agreements will pave the way for further economic growth in the state. This SEZ is expected to attract investment of about Rs 14000 crore. The SEZ is expected to provide direct employment to about one lakh persons. |