The Anil Dhirubhai Ambani Group (ADAG) firm Reliance Infrastructure (R-Infra) on Tuesday said it has won a Rs 2,960-crore project from the National Highways Authority of India (NHAI).
The contract is for six-laning of the 180-km Delhi-Agra road passing through Haryana and UP and will be built on design, build, finance, operate and transfer toll basis (DBFOT) under the National Highways Development Project (NHDP).
“Delhi Agra project will start generating revenues immediately after achieving financial closure, which is expected to be achieved within the next 6 months,” the company said in a statement.
R-Infra has become the country’s largest private sector road developer with its road portfolio having 11 projects with an investment outlay of about Rs 12,000 crore.
Of the total projects, nine projects worth Rs 9,800 crore would start generating revenue in FY 11, CEO and whole-time Director of the company Lalit Jalan said.
“We have to achieve financial closure for two projects, which we will do in the next seven to 10 days,” Mr. Jalan said.
“Given our project selection strategy and focus on profitable project corridors, we conservatively expect annual revenue growth of over 13 per cent CAGR for the entire concession period of our projects,” he added.
R-Infra bagged the Delhi-Agra project on the basis of least grant where two bidders had participated. The other bidder was GVK. Altogether 11 bidders had participated in the bid in 2009 of which 9 bidders had qualified. However, later only two had submitted the bid documents, the company said.
The project has a concession period of 26 years, including the construction period.