GMR infrastructure gains 3% on stake sale plans to pare debt
The move is part of its ongoing portfolio churn that will help the group pare its consolidated net debt of Rs 37, 681 cr as on Dec 2012
By ET Online |
NEW DELHI: GMR Infrastructure Ltd surged over 3 per cent in the morning trade on Tuesday after news that the infrastructure conglomerate GMR is selling its entire 70 per cent stake and exiting its first independent power project (IPP) outside India, the Island Power Project in Singapore.
“The move is part of its ongoing portfolio churn that will help the group pare its consolidated net debt of Rs 37, 681 crore as on December 2012,” ET reported.
At 09:50 am, GMR Infrastructure Ltd pared some of its morning gains and was trading 2.3 per cent higher at Rs 19.25. It has hit a low of Rs 19.05 and a high of Rs 19.60 in trade today.
GMR on Monday signed a share purchase agreement with FPM Power Holdings Limited (FPM Power) in a 60:40 joint venture between Hong Kong headquartered investment company First Pacific and Meralco to sell its controlling interest in the 800-megawatts gas-based plant for an equity value of S$660 million (Rs 2,923 crore).
GMR will receive S$600 million (Rs 2,640 crore) in hand while FPM Power will invest S$60 million to complete the project by the end of calendar 2013.
“So far, GMR has invested S$293 million as equity and the stake sale will fetch a cash premium of S$307 million (Rs 1,356 crore),” added the ET report.
“The move is part of its ongoing portfolio churn that will help the group pare its consolidated net debt of Rs 37, 681 crore as on December 2012,” ET reported.
At 09:50 am, GMR Infrastructure Ltd pared some of its morning gains and was trading 2.3 per cent higher at Rs 19.25. It has hit a low of Rs 19.05 and a high of Rs 19.60 in trade today.
GMR on Monday signed a share purchase agreement with FPM Power Holdings Limited (FPM Power) in a 60:40 joint venture between Hong Kong headquartered investment company First Pacific and Meralco to sell its controlling interest in the 800-megawatts gas-based plant for an equity value of S$660 million (Rs 2,923 crore).
GMR will receive S$600 million (Rs 2,640 crore) in hand while FPM Power will invest S$60 million to complete the project by the end of calendar 2013.
“So far, GMR has invested S$293 million as equity and the stake sale will fetch a cash premium of S$307 million (Rs 1,356 crore),” added the ET report.
ADVERTISEMENT
Too busy to trade in stocks? Invest in Mutual Funds with ET Money!
Bookmark or read stories offline -
Download ET Markets APP
Download ET Markets APP
ADVERTISEMENT
