IRB Infrastructure to raise Rs 5,347 cr from GIC, Spain’s Cintra

By: |
Updated: October 27, 2021 8:33 AM

Shares will be allotted to the two through the preferential route at Rs 211.79 apeice, IRB said in a statement.

moneyTotal income during the quarter under review increased to Rs 1,504 crore from Rs 1,169 crore in the year-ago period. (Representational image)

Cintra Global, an arm of Spanish infrastructure firm Ferrovial, and Bricklayers Investment Pte, an affiliate of GIC, will pick up around 42% stake in IRB Infrastructure at a total equity investment of up to Rs 5,347 crore. Post their investment, Cintra Global will have a maximum of 24.9% stake for its investment of up to Rs 3,180 crore, while GIC will invest up to Rs 2,167 crore for a maximum of 16.9% stake. Shares will be allotted to the two through the preferential route at Rs 211.79 apeice, IRB said in a statement.

Post the completion of the transactions, promoters will have 34% stake in the company from 58.46% as on September-end. IRB’s shares settled at Rs 294.4 apiece in the BSE on Tuesday. “The two transactions are subject to execution of definitive documents, approval of IRB shareholders, receipt of regulatory and lenders approvals and satisfaction of customary condition precedents,” the company said.

IRB Infra, which reported Rs 42-crore net profit on Tuesday for the July-September quarter of the current fiscal, compared with a loss of Rs 20 crore in the same period last fiscal, said that the proceeds of will help it achieve the twin objectives of deleveraging and access to growth capital.

Total income during the quarter under review increased to Rs 1,504 crore from Rs 1,169 crore in the year-ago period.
Of the total proceeds, IRB would use Rs 3,250 crore for deleveraging, Rs 1,497 crore is to be used as growth capital and the remaining Rs 600 crore for general corporate purposes.

Cintra Global, an arm of Spanish infrastructure firm Ferrovial, and Bricklayers Investment Pte, an affiliate of GIC, will pick up around 42% stake in IRB Infrastructure at a total equity investment of up to Rs 5,347 crore. Post their investment, Cintra Global will have a maximum of 24.9% stake for its investment of up to Rs 3,180 crore, while GIC will invest up to Rs 2,167 crore for a maximum of 16.9% stake. Shares will be allotted to the two through the preferential route at Rs 211.79 apeice, IRB said in a statement.

Post the completion of the transactions, promoters will have 34% stake in the company from 58.46% as on September-end. IRB’s shares settled at Rs 294.4 apiece in the BSE on Tuesday. “The two transactions are subject to execution of definitive documents, approval of IRB shareholders, receipt of regulatory and lenders approvals and satisfaction of customary condition precedents,” the company said.

IRB Infra, which reported Rs 42-crore net profit on Tuesday for the July-September quarter of the current fiscal, compared with a loss of Rs 20 crore in the same period last fiscal, said that the proceeds of will help it achieve the twin objectives of deleveraging and access to growth capital.

Total income during the quarter under review increased to Rs 1,504 crore from Rs 1,169 crore in the year-ago period.
Of the total proceeds, IRB would use Rs 3,250 crore for deleveraging, Rs 1,497 crore is to be used as growth capital and the remaining Rs 600 crore for general corporate purposes.

Do you know What is India expected to grow 10 pc during current fiscal: NCAER Director General Poonam Gupt,FinMin releases Rs 9,871 cr grant to 17 state, Cash Reserve Ratio (CRR), Finance Bill, Fiscal Policy in India? FE Knowledge Desk explains each of these and more in detail at Financial Express Explained. Also get Live BSE/NSE Stock Prices, latest NAV of Mutual Funds, Best equity funds, Top Gainers, Top Losers on Financial Express. Don’t forget to try our free Income Tax Calculator tool.

Financial Express is now on Telegram. Click here to join our channel and stay updated with the latest Biz news and updates.

Next Stories
1Himachal Pradesh govt announces new pay scales for its employees
2PHD chamber urges GST Council to rationalise rates
3Piyush Goyal asks gem, jewellery sector to focus on design, diversifying export product basket