The Meerut-Budaun Expressway, a special purpose vehicle and the wholly-owned subsidiary of IRB Infrastructure Developers, has achieved financial closure for the Ganga Expressway Group 1 greenfield project.
The project is to build, operate and transfer (BOT) the 129.7-km six-lane greenfield expressway corridor (expandable to eight lanes) between Meerut and Budaun in Uttar Pradesh, at an outlay of Rs 6,538 crore.
Virendra D. Mhaiskar, Chairman and Managing Director, IRB Infra said, “This is the largest greenfield BOT project in our portfolio. We are grateful to our lenders for their trust and confidence in our domain expertise and execution capabilities.”
IRB has secured financing of Rs 2,659 crore from the lenders, while committing an equity infusion of Rs 2,133 crore. The viable gap funding is Rs 1,746 crore.
“IRB is mobilising the resources to commence construction in the next couple of months,” Mhaiskar added.
The project concession period is 30 years with traffic link extension provision of six years, including a three-year construction period. The company claimed that all its projects had achieved financial closure.