Adani Enterprises Achieves Financial Closure For India’s Largest Greenfield Expressway Project
Adani Enterprises’s road portfolio has grown to 18 projects with more than 6,400 lane km and an asset value exceeding Rs 44,000 crore spread across 10 states
Adani Enterprises (AEL) on Thursday said that its wholly-owned subsidiaries, Budaun-Hardoi Road, Hardoi-Unnao Road, and Unnao-Prayagraj Road have achieved financial closure for the controlled six lane (expandable to eight lane) greenfield Ganga Expressway project in Uttar Pradesh on DBFOT (Toll) basis under PPP mode. The concession period shall be 30 years, according to the release.
The Ganga Expressway in Uttar Pradesh, which will connect Meerut with Prayagraj, will be India’s longest expressway to be implemented on DBFOT basis. Of its 594-km length, Adani Enterprises will build 464 km from Budaun to Prayagraj, which comprises 80 per cent of the expressway project.
K P Maheshwari, CEO, Road Business, Adani Enterprises Ltd, said, “India is building at a record pace the road infrastructure it needs for its development, and we are delighted to be providing the much-needed road connectivity all across the nation,” while adding, “State Bank of India (SBI) has underwritten the entire debt requirement of Rs 10,238 crore for the Ganga Expressway Projects (BHRPL, HURPL, and UPRPL). With this facility from SBI, we have moved a step closer to providing our country and the state of UP with another landmark infrastructure”
Adani Enterprises’s road portfolio has grown to 18 projects with more than 6,400 lane km and an asset value exceeding Rs 44,000 crore spread across 10 states – Uttar Pradesh, Chhattisgarh, Telangana, Andhra Pradesh, Madhya Pradesh, Kerala, Gujarat, West Bengal, and Odisha.
The portfolio has a mix of HAM (Hybrid Annuity Mode), TOT (Toll-Operate-Transfer) and BOT (Build- Operate-Transfer) type assets.
Meanwhile, Gautam Adani, founder and chairman, Adani Group, said his group has planned to double cement manufacturing capacity and become the most profitable manufacturer in India. Days after completing a $6.5-billion acquisition of Ambuja Cements and ACC, Adani saw a multifold rise in cement demand in the country on the back of record-breaking economic growth and the government's infrastructure creation push, which will give significant margin expansion.
At 3.30 pm on Thursday, shares of Adani Enterprises were trading at Rs 3,460.05 apiece, down 2.51 per cent, on the BSE.
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