Kridhan Infra rose 3.48% to Rs 117.35 at 12:00 IST on BSE after the company announced that it has completed the acquisition of 31.5% stake in Vijay Nirman Company.
The announcement was made after market hours yesterday, 27 February 2018.Meanwhile, the S&P BSE Sensex was down 141.59 points or 0.41% at 34,204.80. The S&P BSE Small-Cap index fell 22.97 points or 0.13% to 18,067.16, outperforming the Sensex.
On the BSE, 44,000 shares were traded on the counter so far as against the average daily volumes of 61,000 shares in the past two weeks. The stock had hit a high of Rs 118.80 and a low of Rs 111.60 so far during the day. The stock had hit a 52-week high of Rs 142 on 5 January 2018 and a 52-week low of Rs 47.50 on 24 March 2017.
Kridhan Infra has allotted 76.79 lakh equity shares to the institutional shareholders of Vijay Nirman Company (VNC) on preferential basis and all the required approvals are received from BSE and NSE.
After this acquisition the VNC has become an associate company of KIL. The company had also signed a share subscription agreement (SSA) for increasing its stake to 50.5% and the process is on to complete that transaction.
Vijay Nirman is a pedigreed private construction company with over 35 years of operations. It has more than 1,600 equipment units to complement its 1,600-1,700-strong staff team. The company has completed over 400 projects and has an exceptional reputation in civil engineering, design and project management skills. The company has a strong order book of over Rs 3200 crore.
VNC is an excellent operational and strategic fit with Kridhan's existing business and will create significant long-term value for its shareholders. Through this strategic acquisition, Kridhan Infra will strengthens its position in India in the EPC segment. The acquisition provides Kridhan with a strong execution team to complement its superior and unmatched skill set in road and bridge works, foundation engineering, micro-tunnelling, flyovers, landscaping, and others.
Kridhan Infra is an infrastructure solutions company.
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