InvestorQ : How does GMR Infra plan to become zero debt over the next few years?
rhea Babu made post

How does GMR Infra plan to become zero debt over the next few years?

Answer
image
Riya Dwivedi answered.
2 months ago
Follow

One of the big game plans of the GMR Infrastructure group is to complete the demerger of its airports and non-airports business in the current year. Once this is done, the next step that GMR plans is to become zero debt. The demerger is expected to be completed by Dec-21 this year. Debt reduction has already commenced at GMR and in the last one year, GMR has reduced its debt from Rs.6,700 crore to Rs.4,500.

To further reduce the debt to zero levels, it will be looking at monetize a range of assets. GMR had recently received a sum of Rs.1,690 crore from the divestment of its Kakinada special economic zone or SEZ to Aurobindo Realty. In addition, it has also sold some of its land at Krishnagiri and will also be looking to monetize 1900 acres of land. The airports business is expected to generate free cash flows withing next 3 years.

2 Views