GVK Power at 52-week high on pact with CIDCO to develop Navi Mumbai Airport

The stock locked in upper circuit for the second straight day, up 5% at Rs 22.15 on BSE

GVK Power & Infrastructure (GVKPIL) was locked in upper circuit for the second straight day, up 5% at Rs 22.15 on BSE after the company on announced the signing of the concession agreement with City and Industrial Development Corporation (CIDCO) for the Navi Mumbai International Airport project.

The agreement was signed through a special purpose vehicle Navi Mumbai International Airport Private Ltd (NMIAL), a step down subsidiary of GVKPIL.

GVKPIL through its subsidiary Mumbai International Airport Private Limited (MIAL) holds 74%, while CIDCO holds the balance 26% in equity capital of NMIAL. The initial concession period is 30 years from the appointed date, which is extendable for another 10 years, the company said in a press release.

The stock trading at its 52-week high price has rallied 10% in past two days. In past one month, it surged 40% against 3.5% rise in the S&P BSE Sensex.

The trading volumes on the counter more than doubled with a combined 8.76 million shares changed hands on BSE and NSE till 01:41 PM: There were pending buy orders for 11,492 shares, the exchanges data shows.