Gammon India is reportedly in talks with Lodha and Runwal Developers to sell its 185 acre Dombivali property in Mumbai for Rs 2000 crore in order to pare down its debt. The company had bought the land from Pal Peugeot in 2011 for Rs 726 crore.
The company has to service a debt of close to Rs 3,500 crore, while its listed subsidiary Gammon Infrastructure Projects has a debt burden of an additional Rs 4,000 crore. Gammon India’s lenders include Canara Bank, Allahabad Bank and ICICI Bank.
Gammon India provides engineering services and construction of services. It operates in plan, design and undertakes construction of roads, highways, bridges and other projects.