Maytas Infra halves loss after slimming assets

Maytas Infrastructure Limited has reported a net loss of Rs 251.86 crore for the year ended March 31, 2010, compared with a net loss of Rs 473.54 crore last year. Its net revenues declined 33.19 per cent to Rs 1,098.87 crore from Rs 1,644.65 crore in the previous year.

According to the annual results approved by Maytas board, the company's fixed assets during the year decreased to Rs 357.59 crore from Rs 1,256.84 crore. For the quarters ended December 31 and September 30 of 2009, it incurred a net loss of Rs 55.34 crore and Rs 528 crore, respectively.

The company did not publish the results in the stipulated time as its operations suffered due to its association with Satyam, where financial irregularities came to light in January 2009. Following this, Maytas' bank accounts were frozen and credit cancelled.

Consequently, the Company Law Board allowed Maytas time till June 30, 2010, for publication of the financial results for the financial year ended March 31, 2010.

Infrastructure Leasing & Financial Services Limited (IL&FS), after stepping in as the promoters, arranged for priority debt and non-fund-based facilities and reactivated work on construction sites.

An extraordinary general meeting of Maytas shareholders would be convened on July 19 to seek their approval for preferential issue of 15.4 million equity shares of Rs 10 each at a premium of Rs 185.30 per share (Rs 300 crore) to Saudi BinLadin Group Investments Limited. This partnership will enable Maytas recapitalise operations and access opportunities in Saudi Arabia and other West Asian countries.