The board of construction and engineering company Gammon India has agreed to begin talks with lenders to restructure the company's debt through the corporate debt restructuring process, it said in a statement late on Wednesday.

Sluggish industrial capital expenditure has squeezed orders for Indian infrastructure companies and big projects have been stalled by a slow approval process and inadequate capital.

At 9:35 a.m., shares in Gammon India were up 2.4 percent at 27.35 rupees.