Gayatri allots preferential shares to Reliance MF
Hyderabad-based construction firm, Gayatri Projects Limited has announced allotment of one million equity shares of Rs10 each at a premium on preferential basis to Reliance Mutual fund to generate long term resources for implementing future growth plans and working capital requirements.
Shareholders of the company have approved preferential allotment of one million equity shares of the face value of Rs10 each at a price of Rs185 per share (including a premium of Rs175 per share) aggregating Rs18.50 crore according to the Securities and Exchange Board of India (SEBI) guidelines on the matter.
Commenting on the development, T V Sandeep Reddy, MD, Gayatri Projects Limited said, “The resources will help us meet our strategic business plan to chart out company’s future growth. Also induction of a strategic investor will add premium element to the company’s valuation.
“Also in view of the government’s renewed thrust on the infrastructure sector, there are vast openings for a company like ours and the resources will help us leverage our strengths,” he added.
Established in 1963, Gayatri Projects Ltd is currently executing projects worth Rs5,900 crore for NHAI, state governments and private sector companies. The company has recorded an annual turnover of Rs1004 crore for the year 2008-09 and net worth of Rs220 crore.