Ashoka Buildcon acquires Ashoka GVR Mudhol Nipani Roads

Ashoka Buildcon Ltd on Wednesday said it has acquired additional 1.6 crore shares in its arm Ashoka GVR Mudhol Nipani Roads Ltd, following which its stake has increased to 99.99 per cent.

"The company has further acquired 1,60,16,100 equity shares of Ashoka GVR Mudhol Nipani Roads Limited held by GVR Infra Projects Limited. The company now holds 5,52,29,400 (99.99 per cent) equity shares of Rs 10 each...," Ashoka Buildcon said in a regulatory filing.

Ashoka GVR Mudhol Nipani Roads Limited (AGMNRL) is a special purpose vehicle incorporated for the execution of existing state highway project from Mudhol to Maharashtra border in Karnataka.

Prior to the acquisition, 71 per cent equity shares were held by Ashoka Buildcon while remaining 29 per cent shares were held by GVR Infra Projects Limited.

Ashoka Buildcon has entered into a share purchase agreement with GVR Infra Projects Limited (GIPL), for acquisition of an additional 29 per cent stake in AGMNRL, the filing said.

The filing further said that 29 per cent stake held by GIPL is acquired by Ashoka Buildcon except 600 shares.

Ashoka Buildcon would complete the acquisition of balance 600 shares by March 31, 2020, the filing added.

Ashoka Buildcon had already paid in earlier years aggregate consideration of Rs 35.69 crore, the filing said.