City based infrastructure major GVK Power and Infrastructure Ltd is mulling raising around Rs 1,500 crore from private equity players to fund its expansion plans, a senior official of the group said today.
He said the company is actively holding discussions with PE firms and the deal is likely to be finalised in a month.
"We are looking to raise funds for our expansion plans in power and airports projects. We cannot say anything about the placement of funds in different verticals at this moment," the official, who did not want to be identified, told PTI.
Sources said two PE firms are among the front runners. While one firm has evinced interest in investing in airport vertical, the other one may invest in the power sector.
The company operates two of the biggest airports in the country, Mumbai and Bangalore, and holds nearly 37 per cent stake in Mumbai Airport International Pvt. Ltd (MAIL) and 29 per cent in Bangalore International Airport (BIAL).
At present GVKPIL owns 53.96 per cent in GVK Industries Ltd, which operates the 216 MW Jegurupadu Phase I gas based power plant and the 220 MW Jegurupadu Phase II gas based project, which is ready for commercial operations. The company also owns 44.97 per cent in 464 MW gas-based Gautami power plant in Andhra, which is ready for commissioning.
The company has around 2000 MW power projects both thermal and Hydal, under development.