Wed Dec 04 16:33:13 UTC 2024: ## Kerala Government Approves Tecom Investments’ Exit from SmartCity Kochi
**KOCHI, December 4, 2024** – The Kerala State Cabinet approved a plan Wednesday for Dubai-based Tecom Investments Group to exit the stalled SmartCity Kochi IT project. The decision follows recommendations from a committee headed by Chief Secretary Sarada Muraleedharan, outlining a mutually agreed-upon exit proposal between the Kerala government and Tecom Investments, a subsidiary of Dubai Holdings.
Tecom Investments currently holds an 84% stake in the project, while the government retains 16%. An independent evaluator will be appointed to determine the compensation owed to Tecom for its withdrawal. A separate committee will recommend the evaluator’s selection.
The government’s decision comes after concluding that Tecom was unable to revitalize the project, which was envisioned to create approximately 90,000 jobs on 246 acres of government-owned land in Kakkanad. The project, initiated under a 2007 framework agreement, has significantly underperformed expectations. The government aims to reclaim the prime land for its own development initiatives. The terms of the exit plan are based on a consensus reached between both parties.
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