Debt-hit NCC in talks to sell stake in road projects.

Construction and infrastructure company NCC Ltd. is at advanced stage of negotiations for divestment of stakes in at least two road projects. It expects to conclude them during the current fiscal.

The Hyderabad-based company, which has a debt of Rs. 2,500 crore, is seeking to divest stake in some of its matured assets to bring down its debt burden.

The move is also aimed at redeploying funds into new projects, which it currently plans to take up and also ease up liquidity. It has an order book of Rs. 20,000 crore.

The company is in parleys with a couple of investors for its western Uttar Pradesh road project in the Meerut-Muzaffarnagar section and the elevated Bangalore Expressway. However, the former is likely to fructify before the latter.

Faced with liquidity crunch, infrastructure companies such as GMR, GVK, IVRCL, Lanco Infratech are all seeking to divest stake in matured assets with the intent of churning assets.

HBL