Livemint : March 20, 2015
Mumbai: Mumbai-based infrastructure development and road construction company IRB Infrastructure Developers Ltd on Tuesday said it has secured Rs.1,756 crore loans for a road construction project run by its unit Yedeshi Aurangabad Tollway Pvt. Ltd.
A consortium of lenders comprising IDBI Bank Ltd (as lead institution), India Infrastructure Finance Co Ltd, IDFC Ltd, Indian Overseas Bank, Union Bank of India and Andhra Bank have financed this project.
In a regulatory filing, IRB Infrastructure, said that its wholly owned subsidiary Yedeshi Aurangabad Tollway has achieved financial closure in terms of the concession agreement executed with National Highways Authority of India (NHAI) by tying up of project finance of Rs.1,756 crore.
The total cost of this project is Rs.3,177 crore, out of which Viability Gap Funding from NHAI will be Rs.558 crore, equity contribution by the company will be approximately Rs.863 crore and the remaining will be funded through project finance of Rs.1,756 crore.
The average cost of debt of this project finance is approximately 11.75% per annum, the company said in its filing.
The concession period for the project is 26 years.
The project involves four-laning of the Yedeshi-Aurangabad section of NH-211 from km 100 to km 290.200 in Maharashtra to be executed on a build-operate-transfter (BOT) basis with tolls collected under the National Highways Development Programme Phase-IVB.
The company, along with its subsidiaries, has constructed or operated and maintained around 9,295 lane kms of roads so far and is one of the major road developers in the country. The aggregate size of all its BOT projects (both completed and under execution) is around Rs.28,492 crore.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.