Saturday evening, KEC International announced that it has signed an agreement to acquire 100% equity in Spur Infrastructure. This was acquired for Rs.62 crore and is expected to be completed within 60 days from the date of agreement.
Spur Infra, incorporated in 2016, is an Indian EPC company engaged in setting up of cross country oil & gas pipelines and city gas distribution networks. It has an order book of Rs. 600 crore comprising of cross-country pipelines and city gas distribution network projects from marquee customers.
Acquisition of Spur Infra is in line with KEC’s strategy to diversify into adjacent areas of growth and will help KEC get orders in the lucrative oil and gas cross-country pipelines EPC sector in India as well as in international markets.
This news has spurred the stock into action. With volumes almost doubling up, the stock rose 7.5% to hit an intraday high at Rs.449.80. Its 52-week high is at Rs.486.45.