CCI Approves Subscription to OCDs of GMR Infra Enterprises by Platinum Stone a 2014 Trust

On December 3, 2024, the Competition Commission of India (CCI) granted approval for Platinum Stone A 2014 Trust, through its trustee Platinum Rock B 2014 RSC Limited, to subscribe to optionally convertible debentures (OCDs) in GMR Infra Enterprises Private Limited. This move is part of a strategic investment that will help the trust acquire a stake in GMR Airports Limited (GAL), strengthening its position in India’s thriving infrastructure sector.

Details of the OCD Subscription and Its Financial Structure

The CCI’s approval allows Platinum Stone A 2014 Trust to subscribe to unlisted and unrated OCDs of GMR Infra Enterprises Private Limited (Target SPV). As part of this investment, the Target SPV will acquire around 9% of the fully diluted shareholding in GMR Airports Limited (GAL). To safeguard the subscription amount for the OCDs, GAL shares will be pledged in favour of the acquirer.

Platinum Stone A 2014 Trust, based in Abu Dhabi, is backed by the Abu Dhabi Investment Authority, a public institution of the Government of Abu Dhabi. This strategic investment in GMR Infra Enterprises is designed to provide significant financial security for both parties.

About GMR Infra

GMR Infrastructure primarily focuses on the development, maintenance and operation of airports, power generation, coal mining and exploration, highway development, and the establishment and management of special economic zones. It also engages in the construction business, including Engineering, Procurement, and Construction (EPC) contracting activities.

GMR Airports Share Performance

As of December 04, 2024, 1:42 PM, shares of GMR Airports Ltd, are currently trading at ₹84.00 per share with a surge of 0.5% from its previous day’s closing price. Over the last month, the stock has seen a surge of 4.85%. While, over the past one year, it has seen a surge of 35.66%.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.