GMR to divest 74 percent in Ulundurpet expressway to IIF for Rs 222 crore

Infrastructure major GMR Group Tuesday said it has decided to sell 74 per cent share in GMR Ulundurpet Expressways Pvt Ltd to India Infrastructure Fund of IDFC for `222 crore.

The transaction is subject to closing conditions customary to such transactions.

“In line with GMR Group's Asset Right and Asset Light Strategy, GMR Highways Ltd has signed a definitive agreement with India Infrastructure Fund (IIF) to divest 74 per cent stake in GMR Ulundurpet Expressways Private Limited (GUEL),” GMR said in a statement adding that India Infrastructure Fund emerged as the successful bidder in buying majority stake in GUEL.

According to the company, GUEL operates the highway stretch of about 73 km from Tindivanam to Ulundurpet on National Highway 45 in Tamil Nadu. The project commenced commercial operations in July, 2009.

“This investment is our first major acquisition and a step in the direction,” said M K Sinha, Managing Partner & CEO, IDFC Alternatives.

IIF is one of the largest infrastructure focused funds and has a well-diversified portfolio with existing investments in roads, ports, conventional and cleantech energy assets.