The investment of Rs 125 crore amounts to 13.5% of equity placed with the two investors while the remaining 84.5% is held by the promoters. About 11 lakh shares of Ramky Infrastructure have been placed with the investors at a price of about Rs 1,146 per share, taking the enterprise value of Ramky at Rs 925 crore.
Ramky Infrastructure has been undertaking several BOT projects including roads, highways, industrial parks, irrigation canals and residential projects. The order book position of the company stands at Rs 2,300 crore. The investment will be used to bid for larger construction projects, investment in BOT projects and working capital requirements.
“We are looking at clocking a turnover of Rs 750 crore this year. We hope to cross the Rs 1,000-crore mark in turnover next fiscal”, said Ayodhya Rami Reddy, chairman, Ramky group, addressing a press conference here on Monday. The company will also look at the option of entering the capital market in the next one year to raise funds.
IIMLs investment in Ramky is part of its $1-billion funds planned for the year. “Of the $1 billion planned for investment, at least $250 million has been invested in infrastructure firms. Next year we will look at adding $1 billion more to our investment portfolio,” said Ravi Parthasarathy, chairman, IL&FS.
This is also the first investment of Sabre Abraaj Private Equity, a 50:50 joint venture between Sabre Capital Worldwide Inc and UAE based Abraaj Capital. Recently the two investment firms launched the Sabre Abraaj India Private Equity Fund I and the first recipient of funds is Ramky.