IRB secures funds for ₹3,519 cr road projects

Fast tracking the projects the company secured in the road sector, IRB Infrastructure has achieved financial closure for two of its hybrid annuity model (HAM) projects as its PP Project Pvt Ltd, a special purpose vehicle (SPV), has secured funds for its ₹1,319 crore project for four-lane of the 38-km Puducherry-Poondiyankuppam stretch of NH-32 (previously NH-45A). Another SPV, IRB PS Highway Pvt Ltd, has also achieved closure for ₹2,200 crore project entailing the scope of work of four-lane the 56.8-km section between Poondiyankuppam and Sattanathapuram on NH-32. Both projects will be partly financed by the National Highways Authority of India (NHAI) and the developer. NHAI will provide financial support of ₹159 crore and ₹909 crore for the first and second projects respectively while IRB will infuse up to ₹425 crore in both. The remaining financing of ₹617 crore and ₹1,209 crore respectively will come from lenders. Out of the three HAM projects of around ₹5,500 crore, it bagged in March 2018, it has financially closed two and expect to close the third one shortly, said Chairman and Managing Director, Virendra D Mhaiskar.