Gayatri Projects is gearing up to acquire five smaller infrastructure firms across India, marking a significant move towards its inorganic expansion. This strategic endeavor will be funded by divesting 49% of its equity to the multi-billion-dollar Australian wealth management firm, AMP.
AMP is set to inject Rs 200 crore through foreign direct investment (FDI) to propel the growth of Gayatri Infra Ventures Limited (GIVL), a subsidiary affiliated with the Hyderabad-based developer, Gayatri Projects.
In terms of acquisitions, the company has outlined plans for three projects located in the north, enhancing its reach along the north-south corridor. Additionally, it aims to secure two projects in the south, with one being the Cyberabad Expressway eight-laning initiative. Other acquisition targets include Western UP Tollways (WUPTL), Gayatri Jhansi Roadways (GJRL), Gayatri Lalitpur Roadways (GLRL), as well as Hyderabad Expressways (HEL) and Cyberabad Expressways (CEL) special purpose vehicles (SPVs).
Specifically, WUPTL represents a joint venture SPV formed with the Satyam-promoted infrastructure company, Mytas, and Nagarjuna Construction Company. The intention is to acquire a 40% stake in WUPTL, while the remaining 60% will be equally split between the other two partners, facilitating the enhancement, betterment, and maintenance of NH 58 in Uttar Pradesh. Gayatri also has plans to completely buy out the 49% stakes held by GJRL and GLRL in their collaborative ventures with IDFC.