Lloyds Enterprises to acquire over 31% stake in Geomysore Services India for ₹140 crore

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HomeMarket NewsLloyds Enterprises to acquire over 31% stake in Geomysore Services India for ₹140 crore

Lloyds Enterprises Share Price | The acquisition will be completed via an investment of ₹140 crore for a 50% partnership interest in Prakar Estate and Promoter LLP, which holds a majority stake of 63.17% in GMSI, Lloyds Enterprises said in an exchange filing. As a result, Lloyds Enterprises will secure 31.58% indirect ownership in the gold mining company. 

Lloyds Enterprises to acquire over 31% stake in Geomysore Services India for ₹140 crore

Shares of Lloyds Enterprises declined on Friday, 4 July, after the company announced it will acquire a 31.58% stake in Geomysore Services India Pvt Ltd (GMSI).

The acquisition will be completed through an investment of ₹140 crore for a 50% partnership interest in Prakar Estate and Promoter LLP, which holds a majority stake of 63.17% in GMSI, Lloyds Enterprises said in an exchange filing. As a result, Lloyds Enterprises will secure 31.58% indirect ownership in the gold mining company.

Listed entity Deccan Gold Mines holds a 27.27% direct stake in GMSI alongside Prakar Estate and Promoter LLP.

GMSI holds the mining lease for the Jonnagiri Gold Project in Andhra Pradesh, with a fully permitted processing capacity of 1,000 tonnes per day (3.3 lakh TPA), the company said. The project is also the first gold mine started in independent India, it added.

The project has secured all major statutory approvals, including environmental clearance until 2043 and consent to operate from the Andhra Pradesh Pollution Control Board. It has established JORC-certified gold resources of 13.1 tonnes, with an estimated upside potential of up to 42.5 tonnes based on feasibility reports and ongoing exploration. The company plans to produce up to 1,000 kg annually of refined gold for the next 15 years, it added.

With over ₹405 crore already invested, the project is in advanced stages of commissioning and is expected to commence commercial production within the current quarter, the exchange filing stated.

GMSI expects peak revenue of ₹950 crore per annum and earnings before interest, taxes, depreciation and amortisation (EBITDA) of ₹700 crore, it added.

"We believe this investment has the potential to deliver attractive long-term returns and multiply the overall value proposition of the company," said Rajesh Gupta, executive director of Lloyds Enterprises.

Shares of Lloyds Enterprises were down 1.32% at ₹91.18 apiece at 3.10 pm on Friday, July 4. The stock has gained 37.3% in the past month and 84.72% this year, so far.

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(Edited by : Ajay Vaishnav)

First Published: 

Jul 4, 2025 4:08 PM

IST

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