Infra stocks gain on hopes of amendments in Land Acquisition Act

Eleven infrastructure stocks rose by 0.38% to 5.71% at 14:30 IST on BSE on reports government may unleash several big-ticket announcements over the next few weeks, starting with changes in the land acquisition law through an ordinance.

Meanwhile, the S&P BSE Sensex was up 177.23 points or 0.65% at 27,419.01.

Among infrastructure stocks, Jaiprakash Associates (up 0.38%), Hindustan Construction Company (up 2.61%), NCC (up 1.27%), IVRCL (up 4.85%), Gammon India (up 1.54%), IRB Infrastructure & Developers (up 2.82%), Unity Infraprojects (up 1.17%), Lanco Infratech (up 1.39%), and GMR Infrastructure (up 1.48%) gained.

L&T rose 0.39% after the company said its fully owned subsidiary L&T Hydrocarbon Engineering secured an offshore contract valued at Rs 894 crore from ONGC.

IL&FS Transportation Networks jumped 5.71% after the company said that the four laning of Warora Chandrapur Ballarpur Bamni Road Project has commenced commercial operations from 26 December 2014.

According to reports, the rural development ministry is likely to get the draft on land acquisition law vetted by the law ministry. The Cabinet may give its nod as early as next week. The proposed ordinance might take large infrastructure and PPP projects out of the purview of the clause pertaining to social impact assessment. Senior Cabinet Ministers view this clause as the cause of huge delays in land acquisition. The Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act 201 was enacted by the previous United Progressive Alliance government after violent protests over land being taken away from farmers for various projects.

Powered by Capital Market - Live News