Gati inches up as Gati Infrastructure commissions hydro power project in Sikkim

The company made the announcement after market hours on Thursday, 2 May 2013.

Meanwhile, the S&P BSE Sensex was down 76.47 points or 0.39% at 19,659.30

On BSE, 48,000 shares were traded in the counter as against average daily volume of 40,000 shares in the past two weeks.

The stock hit a high of Rs 30.35 and a low of Rs 29.55 so far during the day.

The stock had outperformed the market over the past one month till 2 May 2013, surging 5.57% compared with the Sensex's 3.65% rise. The scrip had however, underperformed the market in past one quarter, falling 15.52% as against Sensex's 0.23% fall.

Gati Infrastructure (GIL) is a subsidiary of Amrit Jal Ventures (AJVL) promoted by Mr. Mahendra Agarwal, Founder and CEO of Gati. GIL had entered into an agreement with the state government of Sikkim to implement three hydro power projects on a build, operate, own and transfer (BOOT) basis. The first project viz. 110 megawatts (MW) Chuzachen Hydro Project has been commissioned and started producing and selling power, Gati said in a statement. This is the first IPP (independent power project) in hydroelectric power sector in Sikkim and the seven sisters of North East, the company said. The plant is directly connected to the Central Transmission Utility (National Grid) through a 24 KM dedicated transmission line and will be able to deliver power across the country, Gati said in a statement.

AJVL is implementing two more hydro electric power projects in Sikkim, a 54 MW Bhasmey hydro electric project (under construction) and 71 MW Sada Mangder project.

Commenting on the commissioning of the project, Mr. Mahendra Agarwal, Founder and CEO, Gati said, "The commissioning of the hydro power project is a big milestone in the history of the Gati Group. Being a logistics expert, our success into the power sector - a completely diverse industry, is a huge achievement. It was not easy at all. Team work and dedication has helped us surpass all odds right from the technical glitches to finances. It's a momentous occasion for all of us at Gati and we hope to continue to build trust and value for our shareholders".

GIL is a power generation group promoted by Mr. Mahendra Agarwal, Founder & CEO of Gati. GIL is one of the pioneers in the private sector power generation being the third group in the country to successfully commission a hydro power project.

Gati's consolidated net profit galloped 391.3% to Rs 5.06 crore on 2% growth in net sales to Rs 326.89 crore in Q2 December 2012 over Q2 December 2011.

Gati is one of the leading logistics companies in India. It is a pioneer and leader in express distribution and supply chain solutions.

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