January 12: MSRDC vice-chairman R C Sinha said that these funds will be required for the completion of the Rs 1,200-crore Mumbai-Pune expressway, Rs 162-crore Panvel bypass and Rs 280-crore rail over bridges at 29 places in the state. "MSRDC has sufficient funds till June for these projects. However, the decision to approach the market to mobilise additional funds will be taken depending upon the market conditions," he added.However, Sinha said that in MSRDC's case, the rating is based on the stand-alone commercial viability of the projects. MSRDC has already issued interest warrants worth Rs 102 crore well before September 30, 1998, and it has made an allocation of Rs 132 crore to be paid to investors before September 30, 1999.According to Sinha, MSRDC has entered into a tripartite agreement with Canara Bank and trustees of bondholders. Work on the ambitious Mumbai-Pune expressway and 55 flyovers in Greater Mumbai is on schedule. The 84-km Mumbai-Pune expressway will be opened for vehicular trafficfrom January 1, 2000. Three flyovers at Andheri-Ghatkopar Link Road, Dattapada junction on the western express highway and Vashi flyover will be inaugurated next month.MSRDC has already finalised toll rates for different vehicles on Mumbai-Pune expressway and 55 flyovers. In addition, MSRDC will get advertising revenue and income from commercial exploitation of space below the flyovers.Interestingly, MSRDC has posted a profit of Rs 2.69 lakh after the payment of Rs 30,000 for taxation in 1996-97. The unaudited results also show a profit of Rs 9.68 lakh till March 31, 1998. With the strong bottom line, the company believes that investors will overwhelmingly support MSRDC, which had successfully raised Rs 1,171 crore about two years ago.Moreover, Sinha strongly believes that since the banks accept MSRDC's guarantee their credit worthiness is beyond question. In the past, MSRDC had guaranteed the Rs 102 crore loan taken by Ircon for the construction of 29 bridges in the state. Punjab National Bank hadloaned Rs 40 crore and J&K Bank, Rs 62 crore.
