Balaji Singh Teeka: “Over the last 5 years, I have invested around $15 million in Mauritius”

Balaji Singh Teeka, Managing Director and Founder of Executive Ship Management (ESM), talked to Business Magazine about his partnership with Betamax.

BUSINESSMAG. What was your motivation as an investor to partner with Betamax?

The innovative design of the vessel, that is carrying both Dirty Petroleum Product (DPP) and Clean Petroleum Product (CPP) simultaneously on the same vessel, was the challenge that motivated me. Red Eagle is a unique vessel in its kind and I am proud to have been closely associated with its design and construction phases. It has dedicatedly serviced Mauritius in its need for petroleum products since its delivery and there has never been any operational issues raised by STC as regards to its services to Mauritius. Also, a contract with a government does provide a sense of comfort.

BUSINESSMAG. Is the transport of petroleum products the sole business of the company?

Yes, Red Eagle was 100% dedicated to transportation of petroleum products from Mangalore to Mauritius.

BUSINESSMAG. How much have you invested into Betamax up to now?

My company, ESM, has 15% equity in Betamax. I personally strongly believe in the economic potential of Mauritius and over the last 5 years, I have invested around $ 15 million on the island.

BUSINESSMAG. Now that the contract has been terminated, what will be the fate of the company?

The company is still up and running. Red Eagle has already been chartered by one of the oil majors.

BUSINESSMAG. From a financial point of view, what has been the impact of the decision of government to terminate the contract?

Whenever a contract is terminated, there is a cost associated to its termination. At this stage, our lawyers are on the matter so I shall abstain from commenting on same for now.

BUSINESSMAG. Were you aware of some irregularities or whatsoever in the allocation of the contract?

There were no irregularities. We have all the official paperwork to support that the Contract is perfectly legal. We await to be officially communicated the grounds on which the contract was terminated as same has not yet been done.

BUSINESSMAG. Were you given the opportunity to have your say prior to government making its decision?

My partners duly kept me informed about the matter and its proceedings. I note that though the government invited Betamax for negotiation, the decision to terminate the contract preceded any concrete negotiations.