Gammon India to raise Rs 958.6 cr via QIP

Construction and engineering firm Gammon India today said it has decided to raise $200 million (Rs 958.6 crore) through qualified institutional placement (QIP) in accordance with Sebi rules.

The board of directors took a decision to this effect at its meeting held on Friday, Gammon India said in a disclosure to the Bombay Stock Exchange (BSE).

The board approved the proposal to further issue securities to qualified institutional buyers upto an amount not exceeding $200 million, it said.

The fund raising proposal is subject to final clearance from shareholders and regulatory authorities, it said.

The board also decided on draft notice of postal ballot seeking shareholders permission for the proposed fund raising, it said.

The firm is involved in the development of infrastructure projects on public private partnership (PPP) basis through its subsidiary, Gammon Infrastructure Projects.

In addition it also undertakes projects in sectors, such as urban infrastructure, airports, mass rapid transit systems, power transmission lines and social economic zones.

Shares of the company closed at Rs 194.70, up 1.88 per cent from the previous close on the BSE.