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Gammon Infra Denied Market Talk of Stake Sale in Mumbai-Nasik Road Project

  • Gammon Infrastructure Projects denied market speculation about stake sale in a project that made its shares soar on the bourses on Wednesday."We have no plans to sell stake in our Mumbai-Nasik highway project. These are baseless market speculation," Gammon Infra's Managing Director K.K. Mohanty told ET.Shares of Gammon Infrastructure Projects soared 6% on Wednesday to end at Rs 15.21 on the Bombay Stock Exchange driven by buzz that the company plans to sell stake in its Mumbai-Nasik highway project, where it holds 80%. BSE's 30-share benchmark index Sensex ended up 0.5% at 17,707.
  • According to the market speculations, Sadbhav Engineering, which holds 20% in the road project is in talks with Gammon Infrastructure to increase its stake in the special purpose vehicle that houses the project."We are not even talking to Sadbhav for a potential stake sale," Mohanty said.Sadbhav Engineering closed at Rs 143 a share, up around 2% from the previous close.Gammon Infrastructure, the infrastructure development arm of Mumbai-headquartered Gammon India, is currently has 14 projects in its portfolio.

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