Man Infra shares rise 4% over project win, merger news. Check details here

Shares of Man Infraconstruction Ltd (MICL Group) rose 4 per cent during the trading session on Friday after the company announced acquisition of another project in South Mumbai and scheme of arrangement and merger of two wholly owned subsidiaries. The company informed about the same through separate exchange filings with the bourses.

MICL Group acquires another project in South Mumbai near Marine Lines, said MICL Group in an exchange filing. "The aforementioned ultra-luxurious project shall be another addition to MICL's real estate portfolio in the area. It is set to become yet another tallest residential structure, surpassing the height of above 800 feet," said the company.

Man Infra claims to deliver all 16 projects before time and the deadline for the latest project has been set for five years. MICL group intends to deliver this project in a span of 5 years from launch date. MICL is poised to achieve an expected profit before tax of more than Rs 400 crore from this project.

Following the announcements, shares of Man Infraconstruction rose 3.68 per cent to Rs 210.85, commanding a total market capitalization of more than 7,800 crore. The scrip had settled at Rs 203.85 in the previous trading session on Thursday.

"With the total construction area of approximately 22 lakh square feet offering a RERA carpet area of around 5.3 lakh square feet for sale, the project is expected to generate a total sales value of above Rs 2,100 crore," it said. "The project is executed under
our asset-light development management model and we have secured a letter of intent (LoI) from Shreepati Zaoba Housing LLP."

The Board of Directors of the Man Infra at its meeting held on Friday, subject to requisite approvals/consents, approved the scheme of arrangement and merger by absorption of Manaj Tollway and Man Projects, its wholly owned subsidiaries with the company and their respective shareholders, it Man Infra in a separate exchange filing. The appointed date of the scheme would be April 01, 2024.