KARACHI: Mega Movers Pakistan, the developers of Shahdadkot Inland Container Terminal (SICT), is planning an initial public offering (IPO) to list the $85 million project on the bourse, The News reported.[the_ad id=”31605″]Being developed at Gwadar Rato Dero M-8 Motorway, SICT is expected to commence commercial operations by mid 2020, while the company is expecting an annual turnover of approximately $45 million in the initial years.
“We have evaluated the public listing and our finance team is already working on it,” Zaheer Barakzai, Chairman Mega Movers Pakistan, said without disclosing the timeframe and quantum of the offer.
Spread over an area of 60 acres having a capacity to handle 1.0 million TEUs annually, SICT will be the country’s largest logistics park, which would primarily cater to the requirements of Gwadar Port. “As activity is started at a port, a container terminal is required for efficient port operations. There is no container terminal around Gwadar unlike Karachi Port or Port Qasim, which have several container terminals”.
Shahdadkot Inland Container Terminal (SICT) is the flagship project of Mega Movers Pakistan, which was announced in 2015 and is presently under construction. “We are working in close coordination and strategic partnership with China Overseas Port Holdings Company (COPHC)”.
Barakzai said, in addition to container terminal, SICT will have multiple facilities such as business complex, hotels, motels, warehousing and a dedicated logistics fleet to connect SICT with the Gwadar port. “A fleet of 500 vehicles would transport all the cargo coming to SICT from across Pakistan to Gwadar port and similarly move cargo meant for upcountry transportation from port to SICT. The distance between SICT and Gwadar port is 325km”.
Talking about the business prospects, Barakzai said once the Gwadar Port becamee fully operational by 2020, much of the load from Karachi port and Port Qasim would switch to Gwadar Port due to tax holidays and other factors.
Chairman Mega Movers informed that SICT was also developing a warehousing facility at Gwadar Free Zone on an area of 10 acres.
SICT Logistics Park would generate around 700 direct employment opportunities in addition to 3,000 indirect employment opportunities. Besides, the people dwelling across Shahdadkot to Khuzdar will also benefit in the form of daily wage jobs. “Once traffic starts on Motorway, there will be a whole lot of business and economic activities. It would be a blessing for the people of this area, as there is very limited employment or business activities here at present.”
Naturally, motorways and highways being development and prosperity to the very areas these pass through. M8 motorway and SICT will also augment livestock and fisheries industry in the area enabling speedy transportation of the produce.
Further, once economic and business activities are started in this area, there will be requirement for housing facilities and this the construction and real estate sector will also get a boost. SICT will also be looking into this sector going forward.
As part of corporate social responsibility, SICT will impart truck and heavy duty vehicle driving trainings to 800 youth every year from the areas of Khuzdar, Turbat and Mund as well as facilitate them in obtaining required licenses.
“We intend to develop and operate this logistics park on international standard and market it as a professional setup to invite international business for setting up their business as well. We have also applied with the relevant authorities to develop Shahdadkot Special Economic Zone to attract investment from local and international businesses,” Barakzai said.