Home News Industry News GMR Divests Stake in GMR OSE Hungund Hospet Highways

    GMR Divests Stake in GMR OSE Hungund Hospet Highways

    538

    GMRGMR Infrastructure Limited., a leading global infrastructure conglomerate and GMR Highways Limited have signed a Share Purchase Agreement with its Joint Venture (JV) Partners to divest its 51% equity stake in GMR OSE Hungund Hospet Highways Private Limited (GOHHHPL). The divestment is to reduce Rs. 1,078 crore of debt at group level and create 85Cr of liquidity. GOHHHPL operates Hungund Hospet section of National Highway No. 13, which is a 99 km project in the State of Karnataka, which was won by GMR OSE Consortium in 2010 on design, build, finance, operate and transfer basis. The sale is envisaged in two tranches and the JV partners have bought 14.99% stake of the project from GMR Group. Tranche II will be completed post approvals from NHAI, lenders of GOHHHPL, and other closing conditions customary to such transactions. Overall consideration for the sale is about Rs. 85 crore. This is the third major divestment in GMR Group’s roads portfolio. GMR Group, is focussing on creating liquidity and reducing their leveraged position, as part of the strategy of churning of assets.

    LEAVE A REPLY

    Please enter your comment!
    Please enter your name here