News

MEP Infrastructure achieves financial closure for three HAM projects

March 2019
MEP Infrastructure Developers has announced the successful financial closure of three of its hybrid annuity projects in Maharashtra, namely, four-laning of Ausa-Chakur, Chakur-Loha, and Loha-Waranga Section of NH-361, in accordance with the concession agreement executed with the National Highways Authority of India (NHAI).  The lead banker for these projects is YES Bank. 

With the announcement, the company has now achieved a financial closure for all of its HAM projects and is currently one of the biggest players in this space with a basket of 10 projects in the states of Maharashtra and Gujarat, aggregating Rs 79.42 billion, covering 1,893 lane km. 

The funding for these projects will be done as under:

Name of the SPV 

MEP Longjian ACR

(Ausa-Chakur)

MEP Longjian CLR

(Chakur-Loha)

MEP Longjian Loha Waranga Road

(Loha-Waranga)

 

(i)

Project Finance

 

Rs 4.07 billion

Rs 4.80 billion

Rs 5.15 billion

(ii)

Grant from NHAI

 

Rs 3.39 billion

Rs 4 billion

Rs 4.29 billion

(iii)

Equity Contribution of Subsidiary Company

Rs 1.01 billion

Rs 1.2 billion

Rs 1.28 billion

Total

Rs 8.48 billion

Rs 10 billion

Rs 10.73 billion


Key highlights of the project are as under:

Name of the projects 

Four-laning of Ausa-Chakur section

Four-laning of Chakur-Loha section

Four-laning of Loha-Waranga section 

Project particulars

Four-laning of Ausa-Chakur section of NH-361 from 55.835 km to 114.345 km (design length 58.51 km), under NH (O) in Maharashtra on hybrid annuity mode.

Four-laning of Chakur-Loha section of NH-361 from 114.600 km 187.800 km (design length 73.345 km)under NH (O) in Maharashtra on hybrid annuity mode.

Four-laning of Loha-Waranga section of NH-361 from 187.800 km to 244.369 km (design length 56.569 km)under NH (O) in the Maharashtra on hybrid annuity mode.

(i)

Construction Period

Two years from the 

appointed date

Two years from the 

appointed date

Two years from the 

appointed date

(ii)

Concession Period

15 years (excluding construction period as stated above)

 

(iv)

Bi-Annual Annuity

The company will receive bi-annual annuity from NHAI post commercial operation date (COD).