Gujarat Pipavav fixes IPO price band

Along with a fresh issue of shares,aggregating Rs 500 crore,the company is making an offer for sale of up to 1,17,07,369 equity shares by the Infrastructure Fund of India and the India Infrastructure Fund.

The issue proceeds are proposed to be utilised for prepayment of loans,investment in capital expenditure and investment in capital equipment.

“The company has already invested Rs 2,200 crore for the development of the port,” GPPL’s Managing Director,Prakash Tulsiani,told reporters here. The company is developer of the APM Terminals at Pipavav.

Of the IPO proceeds,Rs 300 crore would be used to reduce the debt of the company while the remaining Rs 800 crore debt would be reduced subsequently,Tulsiani said.

Gujarat Pipavav Port is the country’s first private sector port providing facilities for handling both containers and bulk cargoes. It is promoted by APM Terminals,which is one of the largest container terminal operators in the world and is a part of the Denmark-based AP Moeller Maersk Group.