Supreme Infrastructure to go slow on bidding, focus on acquisitions

August 21, 2012

Warning: Undefined variable $thumb in /var/www/web/indiantollways.com/wp-content/plugins/digg-digg/include/dd-class.php on line 887

3i India Infrastructure Fund-backed Supreme Infrastructure is planning to go slow on bidding for new road projects and is scouting for acquisition of ongoing road projects, Vikram Sharma, managing director, Supreme Infra, told ET.

Supreme Infrastructure, a Mumbai-headquartered infrastructure developer and construction company, has a portfolio of nine road projects that the company is executing on build-operate-transfer (BOT) basis.

“We will go slow on BOT projects for the next 2-3 quarters. There are road assets available for sale and we are aggressively looking at acquisition opportunities,” Sharma said.

The company is looking for roads with projects cost ranging between Rs 300 to Rs 600 crore, he said.

On Tuesday, Supreme Infrastructure reported net profit of Rs 25.8 crore in the first quarter of 2012-13, almost flat from Rs 25.6 crore a year ago. Company’s total income rose 32% year-on-year to Rs 436 crore in the June quarter.

“Our profits have been hurt due to higher interest cost and rising prices,” Sharma said.

The company has an order book worth Rs 4,376 crore, which includes orders worth Rs 999 crore where the company has emerged lowest bidder.

SOURCE:http://articles.economictimes.indiatimes.com