videos | December 28, 2021, 02:14 PM IST

GMR Infra hits 10-year high as firm demerges Power and Urban Infra unit from airport business

Name: GMR Infra hits 10-year high as firm demerges Power and Urban Infra unit from airport business
Uploaded: 2021-12-28T14:14:15+05:30
Duration: 3 min 33 s
Description: GMR Infra shares have surged 75 percent so far in 2021, as it gears up for restructuring. The stock hit a 10-year peak on Monday.

By Agam Vakil | Dec 28, 2021, 02:14 PM IST (Published)

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GMR Infra shares have surged 75 percent so far in 2021, as it gears up for restructuring. The stock hit a 10-year peak on Monday.

2021 has been a great year for GMR Infrastructure, which gears up for restructuring. The stock hit a 10-year peak on Monday, having outperformed the Nifty 500 with a gain of 75 percent so far this year.

GMR Infra restructuring

The company has decided to split its business into two parts: airports and non-airports.

Split into two

Airports	Non-airports
Business 1	Business 2

Here are some highlights:

To have simplified holding structure

Both businesses to be listed

Move to unlock value and pave way for more focus on growth

To facilitate better understanding of airports business

How will the restructuring take place?

Step 1: To amalgamate GMR Power and Infra with itself. GPIL is a wholly-owned subsidiary of GMR Infra

Step 2: Vertical split demerger of non-airports business into GMR Power and Urban Infra

The GMR Power and Urban Infra unit will hold the non-airports businesses including energy, EPC and urban infra categories.

GMR Infra will hold the airports business. One share of GMR Power and Urban Infra will be given for 10 shares of GMR Infra.

To create mirror shareholding pattern of GMR Infra in GMR Power & Urban Infra

GIL shareholders will hold shares in GPUIL in the same proportion

Revenue split

Consolidated	H1FY22	FY21
Airports	48%	53%
Power, roads, EPC	52%	47%

Scheme of arrangement

Board nod	Sebi nod	NCLT nod
August 20	December 20	December 21

Q4FY22

Estimated fixing record date and listing of GMR Power & Urban Infra