Bloomberg reported that GVK group expects USD 1.2 billion for a stake in its Australian mines and a similar amount from its rail and port projects in Queensland state.

Mr GV Sanjay Reddy vice chairman of GVK Power & Infrastructure Ltd said that the sale of part of its unit that owns 79% of these assets may fetch a further USD 1 billion.

He said “We’re in advanced stages of discussion with investors and plan to close the deals well before December. We’ll bring in minority investors at a significant premium.”

GVK agreed in September to pay AUD 1.26 billion for the 79% stake in the Alpha and Alpha West projects of Hancock Prospecting, all of Kevin’s Corner project as well as the 495 kilometer rail line and the port project at Abbot Point. Reddy expects to tie up borrowings of about AUD 7 billion by December to fund the development.

GVK Coal Developers (Singapore) Pte is the unit that owns the majority stake, while Rinehart owns the remaining 21%.

Source - Bloomberg

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