Indian construction company Ramky Infrastructure expects to bag $400 million worth of projects in Gabon, hoping that its push into Africa will help offset the impact of slowdown on its businesses back home. The company have bid for projects worth $1 billion in Gabon.
Ramky is executing $120-million projects in Gabon, a country in west central Africa, which is looking to diversify its economy amid declining oil production. Ramky’s projects there include construction of Gabon Special Economic Zone, an industrial park in capital Libreville. Unexpected aggression in bidding for projects of the National Highways Authority of India had impacted the company, but the company expects that the diversification strategy will help. The company is also exploring opportunities in Nigeria, Ghana and Ethiopia. Besides moving into new geographies, Ramky has also diversified into new business segments such as water and waste water, irrigation, and power transmission. Its traditional line of businesses is roads and construction.
Ramky Infrastructure has a portfolio of five road development projects, of which one is operational currently. The company has achieved financial closure for all the road projects. As a contractor for engineering, procurement and construction projects, the company had an order book of Rs 11,477.1 crore. In the current financial year, water and building projects have grown the company’s order book while its roads business has slowed down.