The Third Eye : GVK Power & Infrastructure Ltd.

Consolidation move to spark interest
GVK Power has announced a major move to consolidate its unlisted holdings in infrastructure assets under its flagship company GVK Power and Infrastructure. The combined entity would command an asset base of around Rs. 19000 crores and would have interest in Power, airports, roads and mining. Investment Guru is of the view that this consolidation move would help to re-rate the company valuations as it would increase the muscle power of the company to bid for larger projects and would also help to increase the growth rate. The momentum in the stock has already started and is expected to continue in the coming days. The Third eye recommends investors to consider the stock with a view to take advantage of re-rating phenomenon on the stock markets.

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