Punj Lloyd advanced 4.89% to Rs 39.70 at 11:11 IST on BSE on reports that the company is negotiating with Temasek to sell its minority stake in super specialty hospital Medanta Medicity.
Meanwhile, the S&P BSE Sensex was up 87.35 points or 0.33% at 26,954.90
On BSE, so far 3.96 lakh shares were traded in the counter as against average daily volume of 3.08 lakh shares in the past two weeks.
As per reports, Singapore's state investment company Temasek is negotiating with Punj Lloyd to buy its minority stake in super specialty hospital Medanta Medicity, founded by eminent cardiac surgeon, Dr Naresh Trehan.
The divestment will help Punj Lloyd to deleverage its balance sheet and at the same time further consolidate the sovereign investment group's healthcare bets across emerging markets like India, reports added.
Initially, Punj Lloyd is planning to sell half of its 17% shareholding in Global Health (GHPL) - a company which owns, manages and operates the Gurgaon-based Medanta Medicity hospital for around Rs 300 crore. This will be followed by another structured transaction, wherein, Punj Lloyd will raise additional debt of around Rs 300-Rs 320 crore against its residual 8.5% stake. After a period of 2-3 years, the former will have the option of paying back the loan and releasing those shares or relinquishing them to Temasek at a future valuation based on the financial matrix of that time, reports added.
Punj Lloyd is a diversified international conglomerate offering EPC services in energy and infrastructure along with engineering and manufacturing capabilities in the defence sector.
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