GMR Infrastructure sells 30-% stake in GMR Energy
27 Sep 2011
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GMR Infrastructure has sold a 30-per cent stake in its unit GMR Energy (Singapore) Pte Ltd to Petronas International Corp, a subsidiary of Malaysian state-run oil firm Petronas. The Bangalore-based firm, however, did not divulge the financial details of the deal.
The news coupled with an announcement of the company winning a mega highway project, resulted in the firm's prices rising nearly 5 per cent in early trades this morning.
Petronas is one of the largest groups in south east Asia with substantial resources in oil and gas. This relationship would pave the way for other possible opportunities between the groups in India as well as internationally, it said in a statement.
''This relationship between GMR and Petronas opens up powerful synergy going forward for both the groups. It is symbolic of true South-South co operation and its immense potential in the energy market in the region,'' G M Rao, group chairman, GMR Group said.
GMR Energy is developing an 800 megawatt, gas-based power project on Jurong Island, Singapore, jointly with Siemens and Samsung. The combined cycle gas turbine (CCGT) power plant is being developed on Jurong Island, Singapore, it said in a statement.
Fuelled by re-gassified LNG, the power plant is scheduled for commercial operations in 2013. GMR Supply Singapore Pte Ltd, a wholly owned subsidiary of GMR Energy, holding an electricity retail license in Singapore, will manage the electricity retail business.
''This acquisition marks Petronas group's maiden foray into the international power market, and is a major step in its effort to extend its existing integrated presence further along the energy value chain,'' Datuk Anuar Ahmad, executive vce president, gas and power business of Petroleum Nasional Berhard said.
Separately, the company said it won a mega highway project, six laning of 555 km Kishangarh-Udaipur-Ahmedabad highway. The concession period is 26 years, and the company expects to sign an agreement soon.
The project will be implemented through public-private-partnership model and on design, build, finance, operate and transfer model.
This highway section, which will pass through Gujarat and Rajasthan, is a part of the Delhi-Mumbai golden quadrilateral corridor and will also pass through the Delhi-Mumbai industrial corridor.
According to earlier media reports, the project is worth Rs7,000 crore, even though the company did not provide the financials.
In August, GMR Energy, had signed an agreement to acquire a 30-per cent stake in T Golden Energy Mines Tbk, a Sinar Mas Group company in Indonesia, for $450-550 million in cash. The company had said in a regulatory filing that it will fund the acquisition through a combination of debt and internal accruals.
As part of the deal, GMR has also signed a 25-year coal offtake agreement with GEMS starting from the beginning of next year, with the annual offtake increasing to 10 million tonnes over the coming years.
Earlier in March, the Bangalore-based firm received a $200-million investment from Macquarie SBI Infrastructure Investments Ltd in its unit GMR Airports Holding Ltd, which runs the Delhi and Hyderabad airports.
The investment was made through compulsorily convertible preference shares, the firm said in a statement to the Bombay Stock Exchange, without divulging details.
The news coupled with an announcement of the company winning a mega highway project, resulted in the firm's prices rising nearly 5 per cent in early trades this morning.
Petronas is one of the largest groups in south east Asia with substantial resources in oil and gas. This relationship would pave the way for other possible opportunities between the groups in India as well as internationally, it said in a statement.
''This relationship between GMR and Petronas opens up powerful synergy going forward for both the groups. It is symbolic of true South-South co operation and its immense potential in the energy market in the region,'' G M Rao, group chairman, GMR Group said.
GMR Energy is developing an 800 megawatt, gas-based power project on Jurong Island, Singapore, jointly with Siemens and Samsung. The combined cycle gas turbine (CCGT) power plant is being developed on Jurong Island, Singapore, it said in a statement.
Fuelled by re-gassified LNG, the power plant is scheduled for commercial operations in 2013. GMR Supply Singapore Pte Ltd, a wholly owned subsidiary of GMR Energy, holding an electricity retail license in Singapore, will manage the electricity retail business.
''This acquisition marks Petronas group's maiden foray into the international power market, and is a major step in its effort to extend its existing integrated presence further along the energy value chain,'' Datuk Anuar Ahmad, executive vce president, gas and power business of Petroleum Nasional Berhard said.
Separately, the company said it won a mega highway project, six laning of 555 km Kishangarh-Udaipur-Ahmedabad highway. The concession period is 26 years, and the company expects to sign an agreement soon.
The project will be implemented through public-private-partnership model and on design, build, finance, operate and transfer model.
This highway section, which will pass through Gujarat and Rajasthan, is a part of the Delhi-Mumbai golden quadrilateral corridor and will also pass through the Delhi-Mumbai industrial corridor.
According to earlier media reports, the project is worth Rs7,000 crore, even though the company did not provide the financials.
In August, GMR Energy, had signed an agreement to acquire a 30-per cent stake in T Golden Energy Mines Tbk, a Sinar Mas Group company in Indonesia, for $450-550 million in cash. The company had said in a regulatory filing that it will fund the acquisition through a combination of debt and internal accruals.
As part of the deal, GMR has also signed a 25-year coal offtake agreement with GEMS starting from the beginning of next year, with the annual offtake increasing to 10 million tonnes over the coming years.
Earlier in March, the Bangalore-based firm received a $200-million investment from Macquarie SBI Infrastructure Investments Ltd in its unit GMR Airports Holding Ltd, which runs the Delhi and Hyderabad airports.
The investment was made through compulsorily convertible preference shares, the firm said in a statement to the Bombay Stock Exchange, without divulging details.
