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Lanco Infratech jumps on plan to pare debt

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Capital Market
Last Updated : Sep 10 2014 | 10:47 AM IST

Lanco Infratech rose 4.95% to Rs 8.48 at 9:35 IST on BSE after the company said it plans to sell power projects to raise Rs 5000 crore and pay down its debts.

The company made the announcement after trading hours on

Meanwhile, the BSE Sensex was down 154.15 points, or 0.57%, to 27,111.17.

On BSE, so far 4.68 lakh shares were traded in the counter, compared with an average volume of 15.22 lakh shares in the past one quarter.

The stock hit a high of Rs 8.73 and a low of Rs 8.31 so far during the day. The stock hit a 52-week high of Rs 14.94 on 23 May 2014. The stock hit a 52-week low of Rs 5.16 on 10 September 2013.

The small-cap company has an equity capital of Rs 240.78 crore. Face value per share is Re 1.

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Lanco Infratech said it plans to sell 3000 megawatts (MW) assets to raise Rs 5000 crore cash and to reduce the additional debt of Rs 15000 crore.

The company said that since last one year, it has been working on each of the projects to settle the issues and bring back viability. With all these measures as well as in the background of CDR approval and various meetings with bankers and strategic partners, the firm is confident of driving the group into same level of profitability again.

Lanco Infratech posted a consolidated reported net loss of Rs 306.30 crore in Q1 June 2014, lower than net loss of Rs 578.80 crore in Q1 June 2013. Gross revenue before eliminations declined 8% to Rs 2670 crore in Q1 June 2014 over Q1 June 2013.

Lanco Infratech is one of the India's largest integrated infrastructure developers with presence across five sectors viz. EPC, power, natural resources, solar and infrastructure.

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First Published: Sep 10 2014 | 9:34 AM IST

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