A parent private limited company based in Singapore to finance operations of buying a Catamaran for India desires equity participation with minimum investment of 1 Million USD for developing tourism sector in India.
The Catamaran Service between Mumbai and Diu will provide sea link, a long felt need of the region. The development of tourism infrastructure will benefit the sector immensely.
The Catamaran shall be in Carbon Fiber Material and run at speed of 34 knots covering the distance of 160 miles between Mumbai and Diu in 4 hours. To provide seamless travel to other important centres Luxury AC Bus Service will be provided.
The Catamaran shall return back to Mumbai on the same day carrying passengers from Diu.
The break even capacity is 40% occupancy and with average yearly occupancy rate of 70% the EBITDA is 220 Million Indian Rupees and with investment of Rs. 850 million the ROI is 26.6%. With proper marketing strategy the profitability could be increased to Rs.400 million per year.
The Catamaran Service is a long felt need of the region, which will connect with Mumbai in 4 hours compared to long Road and Rail Routes. The only alternative means is to travel by air. The fare structures are comparable to air travel.
Even though India and particularly Gujarat has the largest coastal stretch there is no Catamaran Service available at present to cover the long distance. Tourists visiting places like Sasan Gir for Lion Safari ,for pilgrimage in other religious places, business travellers or for Rural Area Tourism etc. Catamaran Service shall be a wonderful experience.
Investors would love to become a part of this venture, as it will be a rewarding experience.
The groundwork of the project is completed and discussions are held with the port authorities. Proposals have been received for a suitable vessel and order is to be finalized within a month or two. Company registration in Singapore is under process and when about 8-10 investors are finalized the equity participation shall be available in a private limited company.
Investors can talk to the project owner if they establish contact on Merar. Business plan is available for download by potential investors.
The Catamaran in Carbon Fiber is the most sought after material of construction which has 40% less weight than Aluminum. Saving in fuel cost over the years compensate for the relatively higher initial capital cost.The catamaran is quite spacious with two decks, passenger carrying capacity of 300 and is a high speed craft with speed of 33-34 knots. The classification is by DNV. It shall be a first of it's kind project in India.
The Singapore based company will finance the craft to Indian company due to favorable investment climate in Singapore and relatively lower interest rates.
Use of finance is to implement a profitable project in India.