Crompton Greaves is top gainer

Crompton Greaves is the top gainer on the BSE currently, up 6% at Rs.148 and this is after an intra day high at Rs.151.80.

The company announced today morning that it has sold its transmission & distribution (T&D) business outside India to First Reserve International, a US Private Equity Fund, for an enterprise value of Euro 115 million or Rs.1600  crore.

The company said that the sale will enable the company to reduce debt and focus on its faster growing Indian businesses. The company continues to actively examine its other international B2B businesses with a view to monetize these businesses to enhance shareholder value.

The company had ended Q3FY16 on a dismal note, recording a consolidated net loss of Rs.107 crore. It had incurred a loss of Rs.410 crore which was provision made against loan given to subsidiaries including loss on sale of Canadian operation. The loss was offset partly by the profit it made on sale of land at Kanjurmarg, Mumbai at Rs.426 crore. Net sales, declined 14% (YoY) at Rs.2068 crore. Its consolidated debt currently stands at Rs.900 crore.