Lenders equity in Gammon India increases to 55.43%

Gammon India today said three of its lenders including IDBI bank have decided to convert loans worth Rs 22.25 crore into equity.
Following the transaction the lenders equity holding into the infrastructure firm will increase to 55.43 per cent.
"Three CDR lenders viz IDBI Bank, UCO Bank and Indian Bank have decided to convert part of their outstanding debt and interest aggregating to Rs 22.25 crore into equity shares of the company of face value of Rs 2 each at a price of Rs 11.89 per equity share," the company said in a BSE filing.
Post this conversion, the total shareholding of the CDR lenders will be 55.43 per cent of the total equity capital of the company, it said.

The company said its board of directors vide a resolution took note of the "Notice of Conversion" received from ICICI Bank acting as a monitoring institution on behalf of the CDR lenders for conversion of part of their outstanding debt into equity under the strategic debt restructuring package of the company."
In another filing the company said that Transrail Lighting Ltd ceases to be an arm of the Gammon India.
"Pursuant to the Investment cum Shareholders' Agreement entered into between the Company, with Bilav Software Pvt Ltd and Transrail Lighting Ltd (TLL) dated October 27, 2015, the company has on February 26, 2016 transferred 75 per cent of its shareholding in TTL to Bilav Software Pvt Ltd," it said.