IRB Infrastructure Trust (the Private InvIT of IRB Infrastructure Developers Ltd) has received Letter of Award (LoA) from the National Highways Authority of India (NHAI) for TOT-13 comprising Gwalior- Jhansi section on NH-44 and Kota Bypass on NH 76 projects for an upfront consideration of Rs.1,683 Crores, (where the Trust was emerged as a preferred bidder) for the revenue linked Concession of 20 years, the company announced through an exchange filing.
This award takes IRB Infra’s Asset Base to approx. Rs 77,000 Crores, with robust market share in TOT space of approx. 38 percent.
Virendra D. Mhaiskar, Chairman & Managing Director, IRB Infrastructure Developers Ltd., said that receiving LoA is next important step on way to signing Concession Agreement, which will enable us to proceed to comply with various other formalities, including financial closure for the project that will facilitate timely takeover of the project.”
He added, “This project will take our share in the North South connectivity to approx. 12 per cent; our aggregate asset base to nearly Rs.77,000 Crs with a robust market share in TOT space to around 38 per cent, the largest by any private transport infrastructure developer in roads and highways segments in India."
The receipt of LoA will now enable the Trust to form Project Special Purpose Vehicle (SPV) for signing Concession Agreement with the Nodal Agency, and subsequently proceed for financial closure within stipulated time frame.
To re-iterate, a month and half ago, IRB Infrastructure Trust had also received LoA from NHAI for TOT-12 (Lalitpur-Lakhnadon section on NH44) for an upfront consideration of Rs.4,428 Crores and Revenue Linked Concession Period of 20 years from the Appointed Date.
IRB Infrastructure Developers Limited shares
The shares of IRB Infrastructure Developers Ltd on Monday at 11:11 am IST were at Rs 42.80, up by 4.90 per cent.
