AMP Capital Finance (Mauritius) to invest Rs 200 crore in equity of Gayatri Infra Ventures in tranches.
Gayatri Infra Ventures Limited (GIVL), incorporated as a wholly owned subsidiary of Gayatri Projects Limited (GPL) to operate as an investing and constructing company in transportation infrastructure sector, has entered into a definitive agreement with AMP Capital Finance Mauritius Limited .
Under the Agreement, AMP Capital Finance Mauritius Limited (a part of the AMP Group) , a company incorporated under the laws of Mauritius and having its office at IFS Court, TwentyEight, Cybercity, Ebene, Mauritius, has agreed to invest Rs 100 crore in the first tranche in equity shares of GIVL. These funds would be utilised to meet ongoing needs of existing projects as well as future bids and concessions undertaken by GIVL.
GIVL, incorporated to construct Transportation Assets in India and to operate as an Investing Company in Transportation Infrastructure sector and make downstream investments in companies undertaking infrastructure road projects in India, will be investing in infrastructure sector involved in construction, operation and maintenance of roads, highways, vehicular bridges, toll roads, vehicular tunnels, bridges and make downstream investments in other Indian companies undertaking such projects in India. GIVL is now well positioned to exploit emerging opportunities in transportation infrastructure . It plans to team up with other reputed companies in the sector and bid for new concessions. Its shareholders Gayatri Projects Limited and AMP Capital Investors will provide it with strong support in this regard. AMP Capital will also consider a further equity injection of Rs.100 cr. as and when the need materializes.
AMP Capital Investors has been investing in Asian infrastructure since 1994 and is one of the longest standing participants in infrastructure investment in Australia. It now manages funds in excess of A$ 104 Billon including A$ 3.5 Billion in infrastructure investments in Australia, New Zealand , Asia and Europe as of 31-3-2008
BACKGROUND
Gayatri Infra Ventures Limited
Gayatri Infra Ventures Limited (‘GIVL’) a public limited company incorporated in India having its registered office at 6-3-10190, B-1, T.S.R Towers, Rajbhavan Road, Somajiguda, Hyderabad, 500082, is the wholly owned subsidiary of Gayatri Project Limited (‘GPL’).
GPL, a company accredited with ISO 9001-2000 certification, is one of the fastest growing construction company in India, and has executed major civil works in India, including construction of dams, highways, bridges, canals and airports. The shares of GPL are currently listed on the Bombay Stock Exchange.
GIVL was incorporated on January 22, 2008, to engage in the business of undertaking infrastructure projects related to construction, operation and maintenance of roads, highways, vehicular bridges, toll roads, vehicular tunnels and bridges in India in the private sector or in collaboration with the Central / State Government.
Details regarding the Infrastructure Project Companies investments, hived-off by GPL to GIVL are furnished below: -
Western UP Tollways Limited (‘WUPTL’)
WUTPL is a special purpose vehicle created as a joint venture between Nagarjuna Construction Company Ltd (‘NCCL’), Maytas Infra Ltd (‘MIL’) and GPL to undertake the project for the strengthening, improvement, operation, maintenance and tolling of National Highway– 58 between Meerut and Muzaffarnagar on Build-Operate-Transfer (‘BOT’) basis. Presently, GPL holds 40 per cent of the equity share capital in WUPTL, and NCCL and MIL respectively hold 30 per cent of the equity share capital. GPL has transferred 40 per cent equity share capital in WUPTL, to GIVL.
Gayatri Jhansi Roadways Limited (‘GJRL’)
GJRL is a special purpose vehicle company promoted by GPL and Infrastructure Development Finance Company Limited (‘IDFC’) to undertake the designing, development, construction, operation and maintenance of a 50 km stretch between Jhansi and Lalitpur on the National Highway No. 25/26 (NH-25/26) on a BOT basis, as part of the North-South corridor in Uttar Pradesh. At the time of commissioning of the above project, GPL would hold 51 per cent of the equity share capital in GJRL and the remaining 49 per cent would be held by IDFC. GPL has entered into a Transfer Agreement to transfer its investments in GJRL, to GIVL.
Gayatri Lalitpur Roadways Limited (‘GLRL’)
GLRL is a special purpose vehicle company promoted by GPL and IDFC to undertake the designing, development, construction, operation and maintenance of 50 km stretch between Jhansi and Lalitpur on National Highway No.26 on BOT basis, as part of the North-South corridor in Uttar Pradesh. The project involves strengthening and widening of existing 2 lane highway, construction of additional 2 lanes and provision of service roads in specific urban and semi-urban areas to cater to the local traffic. At the time of commissioning of the project, GPL would hold 51 per cent of the equity share capital in GLRL and remaining 49 per cent would be held by IDFC. GPL has entered into a Transfer Agreement to transfer its investments in GLRL, to GIVL.
Hyderabad Expressways Limited (‘HEL’)
HEL is a special purpose vehicle company promoted by GPL and MIL for the implementation of the project involving the design, construction, development, operation and maintenance of eight-lane access controlled expressway on a BOT basis, in the Hyderabad city for the section from Bongulur to Tukkuguda. Presently, GPL holds 50 per cent of the equity share capital in HEL and the remaining 50 per cent is held by MIL. GPL has entered into a Transfer Agreement to transfer its investments in HEL, to GIVL.
Cyberabad Expressways Limited (‘CEL’)
CEL is a special purpose vehicle company promoted by GPL and MIL for the implementation of the project involving design, construction, development, operation and maintenance of eight-lane access controlled expressway on a BOT basis, in the Hyderabad city for the section from Kollur to Patancheru. Presently, GPL holds 50 per cent of the equity share capital in CEL and the remaining 50 per cent is held by MIL. GPL has entered into a Transfer Agreement to transfer its investments in CEL, to GIVL.
The proposed acquisition of shares of Infrastructure Project Companies as listed above would be funded by GIVL through issue of Equity shares to GPL. AMP Limited
AMP Limited (‘AMP’) is one of Australia’s leading wealth management companies, and listed on the Australian Stock Exchange with a market capitalization of Australian Dollar (‘A$’) 11.80 billion. AMP is Australia's largest retail and corporate superannuation provider, and one of the region's most significant investment managers with more than A$ 104 billion in assets under management (as of 31 March, 2008). AMP has a long history dating back to the year 1849, and it presently has more than 3 million customers, over 3500 employees and more than 800,000 shareholders.
AMP has two major businesses i.e. AMP Financial Services and AMP Capital Investors. AMP Financial Services offers its customers a wide range of financial products and services, whereas AMP Capital Investors is one of the largest investment managers in Australia and New Zealand, and also provides investment management services in Asia.
