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Construction | April 02, 2013
#33048

GMR completes its Singapore unit's sale

The GMR Group on April 1 stated that it has completed the sale of its 70 per cent interest in GMR Energy Singapore to FPM Power Holdings for Rs 2,605 crore. The transaction was concluded on March 28 after getting all the necessary approvals, the company said in a statement.    

The divestment of this stake results in a profit of Rs 1,376 crore and releases capital amounting to Rs 1,564 crore, it said. Group Chairman GM Rao said that the sale before the year-end is significant and a testimony to the group's strategy for making profitable deals, by adopting the 'asset-light asset right approach.'    

The deal has been concluded in four weeks since its announcement, he added. FPM Power is a 60:40 joint venture between First Pacific Company and Meralco Power Gen Corporation, a wholly-owned subsidiary of Manila Electric Company.

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