According to latest numbers available on Bloomberg, GMR Infra’s consolidated net debt stood at Rs.35,576 crore as on quarter ending September 2014, as against Rs.42,492 crore for three months ending March 2014.
In an analyst conference call, the company had reported consolidated net debt at Rs.37,600 crore as on quarter ending June 2014. It looks to cut by ~Rs.1400 crore post the Rights Issue.
Now, what is the miracle that is going to happen post Rights Issue? Actually, if you look at its balance sheet as on March 31, you would find that the debt to equity was 1: 3.7. Post qualified institutional placement (QIP) it fell down to 1: 3.3 and now after the successful completion of the rights issue, this is likely to fall down to as low as 2.70.