Gammon Infrastructure to sell 10 pc stake through IPO
Gammon Infrastructure Projects, a unit of construction firm Gammon India Ltd, will offload 20 per cent equity through an initial public offer (IPO) and a foreign convertibles issue.
"We will be filing red herring prospectus for an IPO in the next 45 days," company Managing Director Parvez Umrigar said, adding the offer will comprise 10 per cent stake sale.
Gammon Infrastructure had earlier planned an IPO for 20 per cent stake sale. The company will now exercise the option of raising money through issue of foreign convertibles as well.
This move follows an interim order by Securities Appellate Tribunal (SAT) directing SEBI to process Gammon Infrastructure's draft red herring prospectus expeditiously.
Gammon Infrastructure is presently valued at Rs 280 crore and proposes to take the value to Rs 1,000 crore, almost the same value of its holding company Gammon India, Umrigar told PTI.
The debt-free company had diluted 12.5 per cent to US -based fund Ochziff two years ago.