Gammon India and subsidiaries bags orders close to Rs 14 billion in Dec 09

Gammon India is one of the leading construction companies in India. It has managed to bag a few orders in the month of December worth almost Rs 8 billion and around Rs 6 billion through its subsidiaries.

It also announced that the company has raised Rs 3.04 billion via Qualified Institutions Placement (QIP). The board of directors of the company had decided to issue and allot 12.81 million equity shares of face value Rs 2 each to Qualified Institutional Buyers (QIBs) under QIP on Dec.15, 2009. The shares were issued at a price of of Rs 237.45 a share which includes a premium of Rs 235.45 a share, aggregating Rs 3.04 billion.

Here are the orders that Gammon India bagged:

Gammon India

Gammon India in consortium with Pratibha Industries has been awarded a project for procurement, fabrication and laying of clear water main from Vajarahalli to HBR on the east of Bangalore, from the Bangalore water supply and sewerage board. The total project cost is Rs 3.09 billion. Gammon is the lead partner with 51% controlling interest in its joint venture with Pratibha Industries.

Gammon India has been awarded two projects by Coastal Energen (P), Chennai, aggregating to Rs 4.59 billion for construction and structural works for 2 x 600 MW thermal power project near Tuticorin in Tamil Nadu. The first work carried out by J. C. Gammon was the construction of reinforced concrete pile foundations for Gateway of India. Since then, the company has executed many multiferrous civil engineering works from cotton godowns to bridges/flyovers, marine structures, cooling towers, chimneys, tunnels and dams in India and in the Middle-East.

The subsidiaries

Gammon India’s subsidiary, Franco Tosi Meccanica S.P.A. Italy, has procured an order from an IPP for supply of Hydro Turbines, aggregating to Rs 5.10 billion.

Another of its wholly owned subsidiary, SAE Powerlines, Italy, has bagged a power transmission project aggregating to USD 31 million in Tanzania. SAE Powerlines also announced that it has been awarded a 220kv transmission line turnkey contract in Algeria. The value of the contract is nearly USD 22.5 million (Rs 1,049.06 million).