IVRCL Indore Gujarat Tollways Ltd

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IVRCL Indore Gujarat Tollways Ltd was created to implement a project that consisted of expanding from two to four lanes approx. 155.15 km of Indore-Jhabua-Gujarat MP Border section from km 9.500 to km 171.100 on the Ahmedabad-Indore section of NH-59. Approved Length 168km. NHDP III. The National Highway Authority of India (NHAI) awarded the project through a competitive tendered on a design build-finance-operate-transfer (DBFOT) toll basis with a concession period of 25 years. NHAI issued the letter of award for this project to IVRCL Indore Gujarat Tollways Ltd, a subsidiary of IVRCL Infrastructure in Dec 2009. The SPV has signed the concession agreement on February 22, 2010. The project cost was estimated to be INR 15,237 million (US$333.2 million). Financial close was on 22 Mar 2010. Financing comprised Rs11.4bn 14-year and 8-months term loan in debt and Rs3.8bn in equity. The debt was arranged by Axis Bank. The debt portion of the project cost was tied up with eight bankers at an interest rate of 10% p.a.