On Thursday, IRB Infrastructure share price surged nearly 10% amidst the announcement that Cintra, through one of its subsidiaries, will acquire 24% of IRB Infrastructure Trust for a total amount of ₹6,590 crore.
As part of the deal, Cintra will extend the acquisition to a similar stake in MMK Toll Road Pty. Ltd. (MMK), the Investment Manager of the Trust. The closure of the purchase will depend on several conditions precedent, including regulatory and third-party approvals.
This strategic partnership aims to capture the potential of India’s electrifying infrastructure landscape by leveraging synergies across different players within the sector. By coupling the unbeatable expertise of one of the finest Indian transport infrastructure developer and the financial muscle of a global investor like Cintra, the partnership is targeting the optimization of project planning and selection processes that are expected to multiply impact and value creation of the Indian infrastructure sector.
As of 11:03 am, IRB Infrastructure shares traded 9.91% higher at ₹56.00 on the NSE. Clearly, the market has responded well to the potential of this strategic partnership and what it could do to the infrastructure of the country.
