Private Equity players find huge opportunities in Indian Infrastructure sector

September 30, 2009 by · Leave a Comment
Filed under: Capital Markets, Transportation 

Newstron (Press Release) – Sep 30, 2009 – It seems like that large number of private equity companies are looking at Indian Infrastructure sector with immense potential as many are rushing in to raise funds for the sector reports Just Invested

According to Perqin, a global firm that tracks PE and alternative assets, Rs. 8,541 cores is in the process of being raised, out of which Rs. 6,800 is by India dedicated infrastructure funds. Read more

Alstom H1 Net Profit Up 49 Percent

PARIS (AP) — French train and generator manufacturer Alstom SA on Thursday reported a 49-percent jump in first-half net profit, on strong power and transport orders. Alstom, majority owned by French construction giant Bouygues SA, reported net profit for April-September of euro388 million (US$571 million), up from a restated figure of euro261 million a year earlier and above analysts’ expectations.

Sales came in at euro8 billion (US$11.78 billion), up 21 percent from euro6.61 billion a year ago.

They were boosted by a 33 percent rise in the group’s orders to euro12.85 billion (US$18.92 billion) over the period, bringing the total order backlog to euro37 billion (US$54.47 billion) at the end of September. Alstom’s backlog represents 28 months of sales.

Order intake at the group’s power turbo-systems division, Alstom’s largest by revenue, grew 30 percent while it rose by 18 percent at the group’s power equipment division and by 13 percent at Alstom’s transport division, which makes trains like the high-speed TGV in France.

Alstom flirted with bankruptcy in 2003 due to costly problems with malfunctioning gas turbines before being rescued by the French government, which bought a 21 percent stake in the company that it subsequently sold to Bouygues in April 2006.

The government is reviewing the future of the French nuclear industry and is said to favor a merger between Alstom and French nuclear group Areva.

To impose itself as the main private shareholder in a potential Alstom-Areva group, Bouygues recently acquired another 4.72 percent of Alstom, bringing its total stake to 30 percent.