NIIFL acquires stake in J&K Expressway

To diversify its asset base, the National Investment and Infrastructure Fund purchased a stake in the tunnel road Navayuga Quazigund Expressway in Jammu and Kashmir for around Rs 30.36 billion.

"National Investment and Infrastructure Fund (NIIFL) announces the acquisition of an equity stake in the Navayuga Quazigund Expressway (NQEPL) through the NIIF Master Fund at an enterprise value of around Rs 30.36 billion. This acquisition further expands the fund's broad portfolio and diversifies its asset base," a release said.

The size of the interest the firm has purchased in NQEPL has not been disclosed by the corporation.

Athaang Infrastructure, the exclusive roads platform of NIIF Master Fund, would administer the operational tunnel road in the Union territory of Jammu & Kashmir.

The National Highways Authority of India (NHAI) awarded one of the largest annuity projects on a BOT (build-operate-transfer) basis.

According to NIIFL, NHAI makes fixed, semi-annual payments to this project, ensuring steady and predictable cash flows.

This acquisition, which is also the first tunnel road that the company has acquired, is a significant asset to the portfolio.