GMR Infrastructure is planning to mop-up Rs 1,500 crore in equity through a rights issue, which along with the recently-concluded qualified institutional placement issue of Rs 1,500 crore, is expected to ease leverage.
For the past two years, the company has been struggling with debt of Rs 40,000 crore with a gearing of four times. After the rights issue, which is expected by November, GMR’s net worth will go up to Rs 14,000 crore as a result of which the leverage will be down to 2.85 times.
The move to raise equity of Rs 3,000 crore in quick succession comes after a year during which GMR went about aggressively to trim its assets across airports, power projects and highways, which enabled it to infuse liquidity into its system to the tune of Rs 3,500 crore.
GMR Infrastructure is a Bangalore headquartered global infrastructure major with interests in Airports, Energy, Highways and Urban Infrastructure sectors. It has successfully employed the public-private partnership model to build a portfolio of high quality assets.
| Company Name | CMP |
|---|---|
| Dreamfolks Services | 82.90 |
| GMR Airports | 97.21 |
| View more.. | |
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