IOT Infra raises Rs 100 crore through private equity
Quotes

IOT Infra raises Rs 100 crore through private equity

Last Updated: Monday, January 23, 2012, 20:39
 
 Comment 0
 
IOT Infra raises Rs 100 crore through private equity
Mumbai: IOT Infrastructure & Energy Services Ltd (IOT), a joint venture between Indian Oil Corporation and Oiltanking GmbH, Germany Monday said it has raised Rs 100 crore through private equity from India Infrastructure Development Fund (IIDF), the private equity arm of UTI AMC.
     
India Infrastructure Development Fund (IIDF), a Private Equity fund managed by "UTI Capital" has invested Rs 100 crore in the company through a share subscription arrangement, a company statement said.
     
After the deferment of its IPO process initiated in 2010, due to acute volatility in the stock market, IOT explored other alternative modes of financing its fund requirements and private equity was selected as a sound immediate option, the release said.
     
The fresh investment will help IOT meet its capital requirements for various projects including the over 1.4 million kilolitre capacity petroleum product facility at Indian Oil Corporation's (IOC) 15 million MTPA Refinery in Paradip, Orissa and the proposed 1,92,520 kilolitre capacity Common User Terminal in Raipur, Chhattisgarh.
     
"In 2010, we decided to raise equity through a public offer for our projects in India, but eventually opted for private equity funding due to unfavourable market conditions for an IPO. IIDF's investment has placed our valuation higher than what was envisaged during the planned IPO," IOT managing director Jayanta Bhuyan said.
     
Over 80 percent of IOT's revenue is generated from its Engineering, Procurement and Construction (EPC) services and the remaining from its Terminalling and Upstream Services businesses. In November 2010, the management at IOT decided to carve out separate Power and Civil divisions to harness the vast potential of infrastructure projects in India and abroad.

PTI




First Published: Monday, January 23, 2012, 20:39


Comments


comments powered by Disqus
BRICS Annual Summit 2014
BRICS Annual Summit 2014
Tata Zest Standout Features: In Pics
Tata Zest Standout Features: In Pics
New car launches in July
New car launches in July
Tata Zest first drive review: In pics
Tata Zest first drive review: In pics
Google I/O 2014
Google I/O 2014

Web Wrap
Contact Us : Privacy Policy : Legal Disclaimer
Copyright © Zee Media Corporation Ltd. All rights reserved