CCEA approves fund raising proposal of GVK Power & Infrastructure Limited

The Cabinet Committee on Economic Affairs today gave its approval for the following:

(i) GVK Power & Infrastructure Limited (GVKPIL) to issue, offer and allot equity shares of Rs.10/- each amounting to not exceeding US$500 million (Rs.2250 crore).

(ii) GVKPIL to issue and allot 7,858,388 equity shares of Rs.10/- each credited as fully paid up in GVKPIL to the non resident shareholders of GVK Industries Limited (GVKIL) amounting upto 7.63% of the post issue paid up equity share capital of GVKPIL in consideration for transfer of their respective shares in GVKIL to GVKPIL in the ratio of 3 equity shares in GVKPIL of Rs.10/- each credited as fully paid-up for every 40 equity shares of Rs.10/- each credited as fully paid up held by such other shareholder in GVKIL in terms of a scheme of arrangement.

FDI amounting to US$500 million (Rs.2250 crore approximately) will be received in the country.

Source : Press Information Bureau

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