GVK Power to raise $300 mn through share sale

GVK Power and Infrastructure plans to raise about $300 million through share sale in next few months to finance its expansion plans and setting up power plants in the country, a senior company official said today.

"We plan to raise the funds primarily through the equity route (sale of shares)," Vice Chairman G V Sanjay Reddy told reporters on the sidelines of a CII conference.

He, however, declined to give further details about the fund raising plans.

GVK Power & Infrastructure, which is a subsidiary of the Hyderabad-based infrastructure major GVK group, has three gas-based power plants in Andhra Pradesh, having a capacity to generate about 900 Mw power.

 

Besides Andhra Pradesh, the company is also developing several power projects in Jammu and Kashmir, Punjab and Uttarakhand and aims to have a generation capacity of about 4,400 Mw in next few years.

When asked about plans to acquire coal mines abroad, which could source the funding requirements of its upcoming power plants, Reddy said the company is in discussions with several companies but declined to disclose the names.

Besides this, Reddy also said that the GVK group will certainly bid for Navi Mumbai airport, once all the clearances are given and bids are invited for the project.

"Since we are already operating the Mumbai Airport, we would be interested in bidding for the Navi Mumbai project as well," Reddy said.