NIPL, Singapore firm to set up Rs 500 cr IT SEZ

Logging on to the IT opportunities lie in the state, Vadodara-based Nipium Infotech (NIPL) has tied up with a Singapore-based company for setting up a special economic zone (SEZ) at an estimated investment of over Rs 500 crore.

The largest proposed IT SEZ in the state till date "� Baroda Knowledge City "� will come up over a 500-acre sprawling area of private land owned by the company in the Ajwa-Nimeta area of Vadodara.

"We have received a proposal from Vadodara-based NIPL. Each IT SEZ in Gujarat is likely to give employment to 10,000 people. After the land is handed over to the developer, it will take at least 16-18 months to complete the project," said Raj Kumar, secretary, Department of Science and Technology, Gujarat.

An NIPL official confirmed the firm's plan for setting up the Gujarat IT SEZ, following which it, he said, planned to set up another in Chennai.

The company had submitted a proposal to the state government for acquiring SEZ status, in which it said it targeted an investment of about Rs 500 crore, sources said.

While the Singapore firm would make the majority of the investment, the rest would be pumped in by the nine directors of NIPL, they said, adding NIPL would also rope in developers for setting up the park.

Besides, NIPL has set up an office in Singapore. It has also evinced interest in building hotels, hospitals, township, multiplexes and recreation centres in the 500-acre area.

Another Vadodara-based firm, Sargam Infrastructure, has tied up with a foreign firm "� UK-based Team Pro "� for IT SEZ. The park "� Baroda Knowledge City "� will come up near Vadodara-Ahmedabad Expressway.

The SEZ is likely to house AutoDesk's global R&D centre and several IT BPO companies. The final approval of the project is slated for the next meeting of the commerce ministry.

"We are in talks with a Pune-based firm for forming a JV for the construction of the SEZ. We are also talking to companies like Mumbai-based Technosoft and US-based Photodesk for setting up their facilities in the upcoming SEZ," said Rajesh Khajuria, MD of Team Pro.

The project cost of the 2 million sqft IT space is estimated at Rs 200 crore, including equity of Rs 70 crore and loans of Rs 130 crore with D/E structure of 1.86:1. Major banks such as State Bank of India have evinced interest in funding the project, according to the official website of Team Pro. The main promoters of the IT SEZ are BRG group and Sargam.

Companies such as DLF, Raheja and Infinity have applied to the state government for developing the IT SEZ. The companies have sought about 40 acres of land and the government is in the process of handing it over to them, the sources said.

The special purpose vehicle NIPL was formed three months ago with Nilesh Panchal, earlier engaged in the agro business, as the managing director.