Singapore Post gets nod for joint venture
WITH the services sector moving ahead of others in terms of revenue generation and higher future growth projections than all other segments of the Indian economy, it is now the turn of the foreign postal services to tap the Indian market.
Singapore Post Pte Ltd has been permitted by the Foreign Investment Promotion Board (FIPB) to set up a joint venture subsidiary in India along with Consignia, the national postal administration of the UK under the UK Government, and the Netherlands-based TPG Group.
The TPG Group is a 200-year-old global provider of mail and logistic services employing 1,48,000 persons in 60 countries and having operations in over 200 countries worldwide and is the largest listed mail company.
The company’s stock is listed on the stock exchanges in London, New York and Amsterdam among others.
According to the plans sanctioned by the FIPB, Singapore Post will form a 50:50 JV in India with Netherlands-based G3 Worldwide Mail.
G3 Worldwide is a joint venture between three partners, the TPG Group, Consignia and Singapore Post.
According to the plans, the Indian company will provide direct mail logistics services including packaging of publications, backroom solutions and print services.
The company will also construct, operate and maintain warehousing facilities and provide data management as well as hi-tech laser printing and artwork services.
The company will also provide services for payment processing, call centres, integrated solutions and services in the field of information technologies.
The new company will have a paid up capital of $5,00,000 to start with which is likely to go up further in the future depending upon future needs, the company has informed the FIPB.
Ambarish Mukherjee
Copyright 2003 Kasturi & Sons Ltd (KSL). Source: Financial Times Information Limited – Asia Intelligence Wire.
Copyright © 2003 Financial Times Information Services Limited. All rights reserved.
