Yedeshi-Aurangabad and Kaithal-Rajasthan border highways to become four lanes soon
IRB Infrastructure Developers (IRB) is in the process of raising around Rs. 5,000 crore from the lenders by the end of October and early November. IRB which is one of the largest BOT (Build- Operate-Transfer) road developers and toll operators will use this money to fund two of its road projects in Haryana and Maharashtra.
The company plans to raise the funds for the four-laning of the Yedeshi-Aurangabad section of the national highway-211 in Maharashtra and four-laning of the Kaithal-Rajasthan border section of the national highway-15265 in Haryana.
Under the national highway development plan IV, both the projects would be executed as BOT toll projects. The total project cost is around Rs 5,500 crore. This includes viability gap funding of Rs 558 crore in the Yedeshi-Aurangabad project and Rs 234 crore in the Kaithal-Rajasthan border project.
The equity contribution for the project would be around 25 %. According to reliable sources, the company is in talks with several banks, including IDBI, Canara Bank, Union Bank and Indian Overseas Bank. The company is expecting the banks to quote competitive rates for the loan.
The company has to complete the financial closure within the 180 days of the award of the projects. The good news is that after the swearing in of the Modi government, all the projects are handled in a time bound fashion like the corporate world. The deadline for the Yedeshi-Aurangabad project is October first week and for the Kaithal-Rajasthan border project mid-November.
Source- Financial Chronicle
BOT, BOT toll projects, Build-Operate-Transfer, IRB, IRB Infrastructure Developers, Kaithal-Rajasthan border project, road projects in Haryana, Yedeshi-Aurangabad project
