IVRCL bags Rs 1.7k cr state road project

IVRCL Ltd on Tuesday said it has made financial arrangements for the Rs 1,705 crore road project near Pune-Mumbai Expressway that its consortium with Kakade Infrastructure won from Maharashtra government.

IVRCL Ltd on Tuesday said it has made financial arrangements for the Rs 1,705 crore road project near Pune-Mumbai Expressway that its consortium with Kakade Infrastructure won from Maharashtra government.

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The 10-lane Sion Panvel road project is a “strategic extension of Pune-Mumbai Expressway by 23 km to BARC junction,” it said. "The total project cost is estimated at Rs 1,705.67 crore,” the company said in a statement adding it is proposed to be funded through Rs 1,299 debt and the balance through sponsor equity.”

The financial commitment has been given by nine banks and IIFCL, it said. “The debt facility has been oversubscribed by 1.53 times. The project has been apprised by IDFC and SBI Caps,” it added.

The consortium of IVRCL Ltd and Kakade Infrastructure Pvt Ltd (KIPL) bagged the project through an international bidding floated by Maharashtra government.

IVRCL through its asset holding subsidiary company IVRCL Assets and Holdings Ltd and KIPL, incorporated Sion Panvel Tollways Pvt Ltd (SPTPL), a special purpose vehicle for implementing the project.