IL&FS Transportation’s SPV ties up Rs. 2,363-crore loan for NH1 project
In a recent exchange filing, IL&FS Transportation Networks Ltd (ITNL) has disclosed that its special purpose vehicle (SPV) – Shrinagar Sonmarg Tunnelway Ltd – has tied up a loan of Rs 2,363 crore with the ICICI bank. In the SPV, Soma Enterprises Ltd and ITNL are 51:49 equity partners.
ITNL said in the exchange filing that Shrinagar Sonmarg Tunnelway Ltd tied up the loan with ICICI Bank on August 22, for a National Highway 1 (NH1) project in Jammu and Kashmir.
According to the details shared by ITNL, the loan amount will go towards the development, operation as well as maintenance of a 12.3-km stretch on NH1 in Jammu and Kashmir. The NH1 mentioned stretch is the one between km 69 and km 81.3 of the Srinagar-Sonmarg-Gumri Road. This stretch includes a 6.5-km-long tunnel and approaches of six km.
The NH1 project will involve an estimated cost of Rs. 3,289 crore; with the construction expected to be completed in 1,825 days. With regard to the project, a concession agreement was signed between Shrinagar Sonmarg Tunnelway Ltd and Border Roads Organisation in April last year.
The mentioned NH1 project is on an annuity basis, and it has a 20-year concession period. The project is on a design, build, finance, operate, and transfer (DBFOT) basis.
Source – The Hindu Business Line
Border Roads Organisation, equity partners, IL&FS Transportation Networks Ltd, ITNL, project in Jammu and Kashmir, Shrinagar Sonmarg Tunnelway Ltd, Soma Enterprises Ltd, special purpose vehicle, SPV, Srinagar-Sonmarg-Gumri Road
