The engineering firm has acquired an additional 4.61 percent stake in Vijay Nirman Company (VNC). As a part of this transaction, VNC has allotted 14,99,475 fresh equity shares to KIL.
Kridhan Infra share price rallied 3.3 percent intraday Monday after it increased shareholding in Vijay Nirman Company, an EPC company.
The engineering firm has acquired an additional 4.61 percent stake in Vijay Nirman Company (VNC). As a part of this transaction, VNC has allotted 14,99,475 fresh equity shares to KIL.
"Post this transaction KIL holding in Vijay Nirman has increased to 41.47 percent," Kridhan Infra said in its filing.
In December 2017, the company has signed a share subscription agreement to significantly enhance its strategic stake in VNC and this transaction is a part of that agreement.
The company said VNC was 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, it added.
At 13:13 hours IST, the share price was quoting at Rs 109.25, up 2.68 percent on the BSE.
Posted by Sunil Matkar