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HCC Concessions Ltd, an infrastructure development company of Ajit Gulabchand-backed HCC Group, has sold its stake in Dhule Palesner Tollway Ltd to its joint venture partner Sadbhav Group for ₹204 crore.
This is the second sale by HCC in a highway project in the last four months. HCC’s stand-alone debt was ₹4,910 crore as on September 30, 2014.
The Ahmedabad-based Sadbhav Group has core strengths in road construction and tollway management.
Additional claimHCC Concessions will also gain ₹24 crore from the National Highway Authority of India (NHAI) as additional claims. The sale will require regulatory clearances, the company said in a statement.
In December 2014, the company had sold Nirmal BOT Ltd, its annuity project in Andhra Pradesh, for ₹64 crore to Highway Concession One Pvt Ltd.
Annuity and toll are two main models of executing build-operate-transfer projects of the NHAI. In the annuity model, a company is awarded the project and six months after commercial operation of the project, the construction cost is paid by the NHAI.
Arjun Dhawan, President and CEO of HCC, said in the statement the sale of the Dhule project is in line with the company’s goal of exiting de-risked and operational assets.
In fiscal 2009, the NHAI had awarded the development of ₹1,420 crore Dhule Palesner tollways project to an HCC-led consortium comprising of Sadbhav Group and UK-based John Laing Group.
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