Punj Lloyd back in news

On Saturday, Punj Lloyd announced that Punj Lloyd Infrastructure, a wholly owned subsidiary of the company had executed definitive agreements with India Infrastructure Fund II. This is an investment fund represented by its investment manager IDFC Alternatives.  The decision has been made that this subsidiary will divest its entire stake in three operating solar projects aggregating to 45 MW located in Punjab and Rajasthan.

The transaction is expected to be completed once customary closing conditions and approvals are obtained. Greenstone Energy Advisors is acting as the exclusive financial advisor to PLIL for the transaction.

The stock price is naturally happy with this news and it spurted up over 3 to over Rs.24 and it currently remains firmly in the green. The company is sitting on consolidated debt of Rs.60,000 and it will need to do a lot more to bring down this burden.