Dilip Buildcon to receive bonus worth Rs. 3.564 crore

Dilip Buildcon Ltd informed on Wednesday the exchanges that the company is entitled for a bonus of Rs. 3.564 crore for earlier completion of project.

Dilip Buildcon announced that the project 'Rehabilitation and Up gradation of NH-18(New NH-40) from Km 108/850 to Km 160/200 (Rayachoty to Kadapa Section) to two lane with Paved Shoulders in the State of Andhra Pradesh under Corridor Approach through Engineering, Procurement & Construction (EPC) Basis' has been completed. The Completion Certificate has been issued by the authority on September 13, 2019 and has declared the project fit for entry into operation as on October 8, 2018 and consequently the Company is entitled to maximum bonus of Rs. 3.564 crore in lieu of earlier completion (60 days prior to the schedule completion date) of the said project.

The trading window for dealing in the securities of the company by its designated employees, immediate relatives, specified person and connected person shall be closed from September 18, 2019 to September 20, 2019 (both day inclusive).

Last week, the company had signed a deal to sell 100 per cent equity in five Hybrid Annuity Model (HAM) projects to Cube Infra. Further, the company is in talks to sell seven more HAM assets. As a result of this sale of five HAM assets, the company's standalone debt would stand at Rs. 3,300 crore while its consolidated debt would reduce by Rs. 1,800 crore. The total equity valuation of the said five projects is expected to be Rs. 702 crore on required equity (equity share capital and promoter's unsecured loan) of Rs. 568 crore.

Despite this development, the shares of Dilip Buildcon closed at Rs. 426.75, down by 0.30 per cent. On Wednesday, the stock had opened at Rs. 432.40 per share and made an intraday high and low of Rs. 438.00 and Rs. 420.05 respectively on the BSE.