HCC jumps after unit sells Andhra project

Hindustan Construction Company rose 4.93% to Rs 34.05 at 14:23 IST on BSE after the company said its subsidiary sold its annuity project in Andhra Pradesh to an entity majorly held by IDFC Alternatives managed India Infrastructure Fund.

The announcement was made during trading hours today, 5 December 2014.

Meanwhile, the BSE Sensex was down 39.62 points, or 0.14%, to 28,523.20.

On BSE, so far 17.77 lakh shares were traded in the counter, compared with an average volume of 11.73 lakh shares in the past one quarter.

The stock hit a high of Rs 34.30 and a low of Rs 32.35 so far during the day. The stock hit a 52-week high of Rs 49 on 1 July 2014. The stock hit a 52-week low of Rs 12.35 on 17 February 2014.

The stock had underperformed the market over the past one month till 4 December 2014, falling 7.15% compared with 2.52% rise in the Sensex. The scrip had also underperformed the market in past one quarter, falling 17.85% as against Sensex's 5.45% rise.

The mid-cap company has an equity capital of Rs 64.58 crore. Face value per share is Re 1.

HCC Concessions, the infrastructure development arm of the HCC Group, announced the sale of Nirmal BOT, its annuity project in Andhra Pradesh to Highway Concession One, an entity rnajorly held by IDFC Alternatives managed India Infrastructure Fund, HCC said in a statement.

HCC Concessions shall receive total consideration of Rs 64 crore for the transaction. Highway Concessions One will acquire 74% equity stake upfront, while the balance 26% equity stake shall be acquired upon receipt of an approval from NHAI, HCC said.

Additionally, Nirmal has also received an arbitration award in its favour for Rs 16.67 crore, which shall be payable to HOC, upon receipt, HCC added.

HCC's net profit fell 78.6% to Rs 6.76 crore on 4.2% fall in total income to Rs 963.62 crore in Q2 September 2014 over Q2 September 2013.

HCC Group delivers engineering & construction services.

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