Gayatri Projects Limited Divests Stake In Western UP Tollways Ltd
– Proceeds to be deployed towards debt repayment
Gayatri Projects Limited (GPL), a prominent and well established infrastructure company specializing in road, irrigation, power transmission and industrial projects, with a pan India presence and a strong asset development portfolio announces strategic divestment in Western UP Tollways Ltd. (WUPTL), which has been operational since 2011.
Over the last 3 months, the Company has made several announcements regarding on-going efforts to monetize or restructure its portfolio of mature assets.
As a part of this monetization exercise, on 20th January, 2016, the Company announced the strategic divestment of Western UP Tollways Ltd. (WUPTL). GPL would deploy most of the proceeds of this divestment will be used to reduce high cost debt held by the Company and its subsidiary GIVL. This move will allow the Company to go forward with a more asset-light approach and to refocus efforts on EPC execution.
Gayatri Projects Ltd. owns 8 BOT road assets (directly or through its subsidiary Gayatri Infra Ventures Ltd., GIVL), of which 7 are operational and the 8th is on target to become operational in the current calendar year.
The Company has received a robust order inflow of EPC orders during the current year of over Rs. 4,000 crore, more than doubling its effective order book. It is confident of executing and completing these projects in a timely manner, while continuing to bid for more projects.