Receives Rs.513Crs consideration towards equity investment; consolidated debt to be reduced by approx. Rs.700Crs

Mumbai: IRB Infrastructure Developers Ltd. India’s leading and the largest toll concessionaire has successfully completed the transfer of its Gandeva Ena (VM7) HAM project to IRB InvIT Fund and has received a cash consideration of Rs.513Crs towards its equity in the VM7 Project SPV.

While commenting on the development, Mr. Virendra D. Mhaiskar, Chairman & Managing Director of the Company said, “The transaction has reinforced our Bid–Execute–Stabilize–Transfer strategy demonstrating effective capital recycling and value realization from matured assets and has also armored Company’s disciplined approach towards the portfolio optimization and value creation for its stakeholders. The proceeds received will facilitate IRB to pursue future growth opportunities in the sector.” He further said, “With this transfer of asset the consolidated debt of the company will be reduced by approximately ₹700 Crs thereby strengthening overall liquidity.” 

To re-capitulate, IRB Infra had earlier signed the Binding Offer to sale Gandeva Ena (VM7) HAM Project to the IRB InvIT Fund.

The Gandeva Ena HAM Project is an eight-laning revenue generating stretch on the upcoming New Delhi Mumbai Greenfield Expressway Project in the State of Gujarat under NHAI’s Package-VII of India’s ambitious ‘Bharatmala Pariyojana. The project is being managed by VM7 Expressway Private Limited, a wholly owned subsidiary of the Company, under a concession awarded by the National Highways Authority of India.