Uttar Pradesh Chief Minister and pure politics-driven Mulayam Singh Yadav is donning the cap of a tycoon these days. Even as the Centre is trying to figure out the best way to grapple with the issue of modernisation of the Delhi and Mumbai airports, Yadav is giving final touches to a similar plan for an obscure airstrip near his native village Saifai. The enthusiastic chief minister wants to extend and improve the existing airstrip that can support the landing of Boeing 737s. He has allotted Rs 44.68 crore for his ‘dream project’ and has roped in Railway India Technical & Engineering Services (RITES) to meet the March 2007 deadline. The new plan involves construction of a new ATC tower, a terminal building and an airstrip. Though this largesse for Saifai — it appears to be a case of favoritism — Mulayam surely has a wider agenda. In the immediate run, he wants to start a state-run Saifai Mela on the lines of Gwalior Mela, for which he needs a full-fledged airport in the area. With a modern airstrip, the businessman in him believes he would be able to attract more tourists and participants to the Mela. The bigger agenda, however, is that with a modern airport, Saifai could become a hub of intense economic activity in the region and be a role model for other villages in the country. ‘Better air connectivity’ would surely excite our business tycoons to look at the region more seriously from the point of view of investment. Hasn’t connectivity always proved to be a forerunner of development? Given Mulayam’s penchant for ‘international flavour’, a la Clinton visit, he may well have an international agenda as well! The Chief Minister’s proximity to the who’s who in the Indian ‘tycoon club’ has surely given him some insight into their minds and in turn now propels him to think like one.Fly freeSubrata Roy has been a favourite topic of speculation for sometime now. If he managed to subdue rumours about his health, it is now the turn of his limping airline to be the topic of speculation in aviation circles. Roy has been exploring fund-raising opportunities that includes private equity placement, approaching the capital market or for that matter even sale of a substantial equity to another domestic carrier. To evaluate various fund raising options, the tycoon has roped in Ernst & Young. The company claims that the auditors have assessed the airline’s value at around $750 million to $1 billion. The sniggering critics contest the figure and instead mention that a full-service airline is actually worth not more than $300 million. The grapevine has it that new aviation players like SpiceJet, Kingfisher and IndiGo are front-runners for the deal, which would effectively decide which way 12 per cent of the domestic aviation market, goes. But Roy has been in the denial mode ever since the stories started floating. To scotch the rumours, he has brought to the notice of the market watchers his keen interest in expanding international presence. Incidentally, early this year, he publicised his winning rights to fly regular flights to the UK and US. He already has a presence in South East Asia. He also has inked commercial agreements with large global carriers like American Airlines and British Airways. Interestingly, observers point out that these international flying rights are what make Sahara all the more interesting to the suitors! Entering the aviation industry way back in 1993, the tycoon has acquired gossipmongers who are always on his back. Roy hopes to continue to shrug them off! dilipcherian@hotmail.com
