Shares of GR Infraprojects gained more than 4 percent on September 24 after the infrastructure company emerged as the lowest bidder for a project under the second phase of the Nagpur Metro Rail Project (NMRP).
The company won the Rs 903.5-crore contract for the design and construction of a 17.624-km elevated metro viaduct, which includes a double-decker section with a vehicular underpass spanning 1.14 km.
The project, awarded by Maharashtra Metro Rail Corporation Ltd (Maha Metro), covers reach-1A of the Nagpur Metro's phase-2 expansion. It also includes the construction of railway spans of 79 metres and 100 metres.
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The project will be executed under the engineering, procurement, and construction (EPC) mode, with a completion period of 30 months. The financial bid opening took place on September 23, 2024, when GR Infraprojects secured the contract based on its competitive bid.
Recently, GR Infraprojects completed the sale of its wholly-owned subsidiary, GR Aligarh Kanpur Highway Private Limited (GAKHPL), to Bharat Highways InvIT. The transaction, finalised on September 17, 2024, was executed for a consideration of Rs 98.6 crore.
GAKHPL contributed 1.99 percent to GR Infraprojects’ consolidated income and 2.10 percent to its consolidated net worth as of March 31, 2024.
Bharat Highways InvIT, the buyer, is an infrastructure investment trust registered with SEBI in August 2022. The sale is considered a related party transaction and was conducted at arm’s length. Following the transfer, GAKHPL ceases to be a subsidiary of GR Infraprojects Limited.
At 9:15 am, GR Infraprojects shares were trading over 4 percent higher at Rs 1,733.95 on NSE. The stock has rallied 53 percent so far this year, outperforming Nifty's returns of 19 percent. In the past 12 months, the counter has risen 39 percent.
In comparison, Nifty rose 31 percent during this period. The company's stock debuted on bourses in July 2021, with a stellar 105 premium. However, it has corrected from those highs.
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