H.G. Infra Incorporates ₹1,582.11 Crore Highway SPV For 40.33 Km Odisha Project

Jaipur: H.G. Infra Engineering is sharpening its project execution model with a new subsidiary dedicated to a major highway contract in Odisha.

Sets Up Project Vehicle

The company incorporated H.G. Gobindpur Tangi Highway Private Limited on April 04, 2026, as a special-purpose vehicle to execute a key infrastructure contract awarded by the National Highways Authority of India. The incorporation was formalised with a certificate received on April 18, 2026.

This structure allows the company to ring-fence project execution, a common approach for large infrastructure developments. The subsidiary will specifically handle the construction of a six-lane access-controlled Capital Region Ring Road Package-III.

Details Project Scope

The project involves building a 40.33 km stretch from Gobindpur on NH-55 to Tangi near Bandola Toll Plaza on NH-16 in Odisha. As shown in the table on page 1, the contract is valued at Rs. 1,582.11 crore and will be executed under Hybrid Annuity Mode. The construction timeline is set at 910 days, indicating a multi-year execution horizon. This model typically combines government support with private sector efficiency, aligning risk-sharing between stakeholders.

Structures Capital Base

The newly incorporated entity starts with an authorised and subscribed capital of Rs. 15,00,000, divided into 1,50,000 equity shares of Rs. 10 each, as detailed in Annexure A on page 2. The entire subscription has been made through cash consideration. At this stage, the subsidiary has not commenced operations and does not have any turnover. The initial capital is primarily intended to establish the entity, with further funding likely to follow as project execution progresses.

Retains Full Ownership

H.G. Infra Engineering holds 100 percent ownership of the subsidiary, ensuring complete control over project execution and financial decisions. As noted on page 3, the entity qualifies as a related party transaction due to its wholly owned status.

The structure also limits external exposure, with no additional promoter or group company interest beyond shareholding and directorship roles. This approach supports streamlined governance while keeping strategic direction aligned with the parent company’s infrastructure focus.

H.G. Infra’s move to create a dedicated SPV highlights its focus on structured project delivery, combining financial control with execution efficiency for large-scale infrastructure developments.

Disclaimer: This article is based solely on the contents of the provided corporate filing and does not include external analysis or independent verification.