Realty major to restructure group companies

September 16, 2008	(Be the first to rate this story!)  Loading ...
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Era Group that specialises in real estate, power and construction equipment major is restructuring group companies. The group has five companies — Era Infra Engineering, Era E-Zone, Era Landmarks, Era Power and Era Building Systems. Of these, the first two are listed entities. H S Bharana, chairman and managing director said that the group is looking to merge Era Landmarks, which is into residential and commercial spaces, with Era E-Zone (formerly Era Financial Services), which operates in the entertainment and hospitality segments. “We are awaiting clearance from the Bombay Stock Exchange for this merger,” Bharana said.

He said the group might consider merging Era Power with Era Infra Engineering when the time is right. “We want to create three verticals - construction and infrastructure (including power), real estate, and construction equipment,” Bharana said. He added that the group would rather focus on these three verticals than diversify. Era Infra Engineering has in the pipeline projects worth Rs 5,000 crore, which are scheduled for completion in two years. The firm’s biggest assignment so far is the Rs 600-crore Delhi-Haryana national highway, which it hopes to complete soon. Era Infra Engineering recently bagged a Rs 209-crore project from the Naya Raipur Development Authority. It also secured a Rs 129-crore contract for the renovation and upgradation of the Raipur airport, for which it has tied up with Ukrainian firm KMB.

Another group company, Era Power, is keen on entering the nuclear power arena once the government allows private players in the segment, Bharana said. A number of infrastructure and power companies have shown interest in venturing into this field after India’s nuclear deal with the US was given a go-ahead by the Nuclear Suppliers Group. “We also want to get into power generation and build higher capacity power plants,” Bharana said. Meanwhile, Era E-Zone, its entertainment and hospitality arm, is planning to add three multiplexes and 12 screens in Ajmer, Meerut and Jaipur. The company now has two multiplexes in Meerut. “The 12 new screens will be opened in the next two months,” Bharana said.

News Published Under:   Real Estate India |

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