KOLKATA: Sanjiv Goenka, chairman of the RP-Sanjiv Geonka group, has firmed up plans to enter the sports business (football) in a big way. For starters, he is planning to invest Rs 500 crore in setting up an integrated football complex that will house a stadium, a football academy and a three-star 100-room hotel.
Goenka isn’t ruling out the possibility of entering sports business abroad, but presently he is concentrating on his venture in Kolkata. It is awaiting the state government’ green signal.
“The sports complex would be a self-sustaining model and an independent profit centre. It will be a first of its kind in the country. There are several self-sustaining models practised globally for sports and we have adopted one of them,” he said when asked about the revenue model of his proposed sports business.
The project would be financed by the Goenka family with a portion of the required fund to be sourced from the CSR kitty.The first phase of the sports project – the academy – is expected to come up in the next 12 months once the approvals are in place. Land requirement is expected to be between 30 to 40 acres. Speaking about his existing sports ventures, Goenka said he was enthusiastic about IPL and foresaw better days from both IPL and football.
“Football will be profitable in the next two years and financially IPL’s performance will be much better,” he said.
CESCBSE 1.79 % is close to signing a new 150-megawatt power purchase agreement for its 2 x 300 megawatt Chandrapura Thermal Power Plant in Maharashtra. The power plant has already entered into 100-megawatt purchase agreements with Tangedco and another 170-mega watt agreement with Greater Noida.Once, the Chandrapura plant starts to supply power under the new PPA, this thermal station will turn profitable as its income would rise from the present level of Rs 400 crore to Rs 600 crore. CESC is also looking to acquire stressed power assets and Goenka believes acquisition opportunities in the power sector will get cheaper over the year.
“A dedicated team is working toward identifying stressed assets and we have well articulated principles laid down for it. We would consider assets which are completely viable,” Goenka said.
Speaking about CESC’s retail arm Spencer’s, Goenka said it was expected to achieve Rs 2,200 crore turnover in the current fiscal. “Online ordering and home delivery facility , including fish items, will begin soon and this will help us achieve higher revenue,” he said.