You are here: Home » News-CM » Equities » Hot Pursuit
Business Standard

MEP Infrastructure Developers gains after subsidiaries achieve financial closure for project

Capital Market 

MEP Infrastructure Developers rose 1.63% to Rs 43.70 after the company said that its two subsidiaries achieved financial closures for four laning stand alone ring road/bypass project in

The announcement was made at the onset of the trading session today, 17 October 2016.

Meanwhile, the BSE Sensex was down 107.83 points, or 0.39%, to 27,565.77.

On BSE, so far 22,854 shares were traded in the counter, compared with average daily volume of 1.16 lakh shares in the past one quarter. The stock hit a high of Rs 44.10 and a low of Rs 42 so far during the day. The stock hit a 52-week high of Rs 59.70 on 21 October 2015. The stock hit a record low of Rs 34.20 on 12 February 2016. The stock had outperformed the market over the past one month till 14 October 2016, falling 1.26% compared with Sensex's 2.46% fall. The scrip had, however, underperformed the market in past one quarter, dropping 7.43% as against Sensex's 0.96% decline.

The small-cap company has equity capital of Rs 162.57 crore. Face value per share is Rs 10.

MEP Infrastructure Developers said that MEP Ring Road 1 Private Limited, a subsidiary of the company, achieved the financial closure within the stipulated time in accordance with the concession agreement executed with National Highways Authority of India (NHAI) dated 19 May 2016 for four laning stand alone ring road/bypass for the City package I in Maharashtra on build, operate, transfer (BOT) (Hybrid Annuity) basis, by tying up of project finance of Rs 238.95 crore.

The bid project cost is Rs 531 crore out of which project finance will contribute Rs 238.95 crore and remaining will be funded by grant from NHAI and equity contribution by the company.

The construction period of the project is 30 months from the appointed date. The concession period is 15 years (excluding construction period of 30 months). The company will receive bi-annual annuity from NHAI post commercial operation sate (COD).

Separately, MEP Infrastructure Developers announced that MEP Sanjose Ring Road 2 Private Limited a subsidiary of the company, achieved the financial closure within the stipulated time in accordance with the concession agreement executed with NHAI dated 19 May 2016 for four laning stand alone ring road/bypass for the City package II in Maharashtra on BOT (Hybrid Annuity) basis, by tying up of project finance of Rs 287.55 crore.

The bid project cost is Rs 639 crore out of which Project finance will contribute Rs 287.55 crore and remaining will be funded by grant from NHAI and equity contribution by the company. The construction period of the project is 30 months from the appointed date. The concession period is 15 years (excluding construction period of 30 months). The company will receive bi-annual annuity from NHAI post commercial operation date (COD).

MEP Infrastructure Developers' consolidated net profit jumped 1470.2% to Rs 35.80 crore on 1.6% drop in net sales to Rs 457.28 crore in Q1 June 2016 over Q1 June 2015.

MEP Infrastructure Developers is among the leading players in tolling operations in the road infrastructure sector.

Powered by Capital Market - Live News

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Mon, October 17 2016. 12:25 IST
RECOMMENDED FOR YOU
RECOMMENDED FOR YOU