The Mint reported that Jindal Steel and Power Ltd is set to buy a majority 60% stake in Gopalpur Ports Ltd which is building a new port at Gopalpur in Orissa.

As per report JSPL will buy the stake from Sara International Ltd and Orissa Stevedores Ltd, the original promoters of Gopalpur Ports.

As per report, the value of the deal could not be ascertained.

The move will mark JSPL’s entry into the ports sector.

Gopalpur port is being developed with an investment of over INR 2,000 crore in three phases with a capacity to load 40 million tonnes of cargo a year.

The equal joint venture between Sara International and Orissa Stevedores had been awarded the port project by the Orissa government in September 2006 for development and operations for an initial period of 30 years and extendable by another 20 years.

Mr DP Singh MD of Sara International, a Noida based firm with interests in trading minerals, steel, agricultural produce and textiles said that “The deal is on. We have signed a memorandum of understanding with JSPL to sell our 50% stake in Gopalpur Ports. The share purchase agreement has not been signed as yet. This will happen by end of February or early March.”

(Soured from www.livemint.com)