Ramky Infrastructure Ltd has achieved financial closure for the Rs 1,103-crore Hospet-Chitradurga tollway road project coming up in Karnataka.
The company closed finances through debt syndication of Rs 830 crore to execute the road project.
An agreement to this effect was signed between the Hospet-Chitradurga Tollways Ltd, a special purpose vehicle formed to undertake the project and consortium of bankers, led by Axis Bank Ltd.
Y.R. Nagaraja, Managing Director, Ramky Infrastructure, said: “The financial tie-up for Karnataka road project reflects the trust the market places on the company.
“The country needs a large, integrated road network to achieve overall progress.”
Other participating lenders include IDBI Bank Ltd, Bank of India, India Infrastructure Finance Company Ltd, State Bank of Hyderabad, State Bank of Patiala, State Bank of Travancore, Central Bank of India and Oriental Bank of Commerce.
The agreement was signed on November 9. The project awarded by National Highways Authority of India is part of NHDP-III phase taken up on design, build, finance, operate and transfer mode.
The tollway has a concession period of 25 years, including construction phase of 210 days.
The company in a statement to the BSE disclosed the financial tie-up it concluded.