Shippping Corp gets cabinet nod to buy 6 vessels

NEW DELHI (Reuters) - Shipping Corp of India has received permission from the cabinet to buy six large vessels for $269.40 million, Finance Minister Palaniappan Chidambaram said on Friday.

"SCI would be availing of external borrowing up to 80 percent of the contract price of each vessel from banks and financial institutions, either from international market or the domestic market, and the balance from its internal resources," he said.

The acquisitions will help SCI replace its ageing handymax bulk carriers, he said.

SCI's share price rose 10.7 percent to 267.45 rupees in a firm Mumbai market.