Shares of Lanco Infratech surged over 10 per cent to Rs 4.15 at its day's high, extending its gains to nearly 30 per cent in two days.
The company, which has interest in power and construction sector, on Monday said it may sell power projects having capacity of 3,000 MW from 2018 onwards and expects to get Rs 25,000 crore, which would help pare debt. Lanco had Rs 33,000 crore debt as on March 31.
Lanco Infratech had earlier informed the stock exchanges that its subsidiaries had reached agreement with lenders for three projects for cost overruns.
L Madhusudhan Rao, executive chairman of Lanco, also said the current power portfolio of the group is expected to touch 8,000 MW by 2018 from the current 3,400 MW.
"In FY16 we are not selling any projects. Most of the asset sale will happen from FY18 onwards. Our target is, we will sell definitely 3,000 MW from this 8,000 MW basket. But which asset we will sell and all, we will choose based on the value and potential price," Rao told reporters on the sidelines of company's Annual General Meeting.
Lanco recently concluded the sale of its Udupi Power plant to Adani for Rs 6,300 crore. The transaction is considered as one of the largest takeovers in the country's thermal power space.
At 10:20 a.m., Lanco Infratech shares were up 8 per cent as compared to a 1 per cent fall in Nifty. (With Agency Inputs)
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