Jungle Camps India Limited has received a Letter of Acceptance (LOA) to operate eco-tourism activities at Shali Tibba in the Shimla Forest Division, Himachal Pradesh. The project involves design, development, and management services. The company will pay an annual concession fee of ₹19,25,000 plus applicable taxes, with a 3% annual escalation. The agreement is for a concession period to be executed within 30 days of the LOA.
Eco-Tourism Project Secured in Himachal Pradesh
Jungle Camps India Limited has announced the receipt of a Letter of Acceptance (LOA) from the Eco-Tourism Society of Himachal Pradesh. This LOA selects the company as the operator for design, development, and management of eco-tourism activities at Shali Tibba, located within the Shimla Forest Division of Himachal Pradesh.
Key Terms and Conditions
The agreement entails an annual concession fee of ₹19,25,000 (Rupees Nineteen Lakh Twenty-Five Thousand Only), exclusive of applicable taxes. This fee will escalate by 3% annually over the previous year’s fee for the duration of the concession period. Additionally, a performance security deposit of ₹19,25,000 is required. The specific terms of the concession agreement will be finalized as per the Bidding Documents and the agreement itself, which is to be executed within 30 days of the LOA.
Project Details
The entity awarding the contract is the Eco-Tourism Society of Himachal Pradesh, identified as a domestic entity. The project’s nature is to provide comprehensive services for running eco-tourism activities at the Shali Tibba site. The broad consideration for this order is the aforementioned annual concession fee, with the concession period to be defined in the forthcoming agreement.
The company has confirmed that there is no interest from the promoter/promoter group or group companies in the entity that awarded the order, nor does the order fall within related party transactions. The agreement is expected to be executed at ‘arm’s length’.
Source: BSE
