Government-owned e-commerce service provider MSTC Ltd on Thursday (February 26) announced that it has become the L-1 bidder for a tender hosted by Coal India Limited on the GEM portal for the appointment of an external service provider to conduct linkage auctions for the non-regulated sector (NRS) for a period of three years, as per a stock exchange filing.
Under the agreement, MSTC Ltd will provide the full range of services related to NRS linkage auctions, including conducting auctions and executing agreements through the MSTC platform. The order has been awarded by a domestic entity, Coal India, and the contract is valid for three years.
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The consideration amount or size of the contract is not quantified at this stage. MSTC stated that neither its promoter, promoter group, nor group companies have any interest in Coal India. The contract does not fall under related party transactions.
Last year in November, Bombay Burmah Trading Corporation said it had terminated its agreement with MSTC Limited. The agreement, which enabled MSTC to act as a selling agent for the company’s immovable properties, land, etc via e-auctions, has been terminated with effect from November 18.
Bombay Burmah decided to conclude the agreement due to an unsuccessful online bidding process, which was “inconsistent with the corporation’s strategies. Further, the company clarified, “the said termination does not have any material impact” on its operations.
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Shares of MSTC Ltd ended at ₹451, down by ₹3, or 0.66%, on the BSE today, February 26.
