Kanwas - Khanpur - Aklera section SH-74

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The project involves up-gradation of Kanwas-Khanpur-Aklera highway road from 1.7 km to 86.9 km on SH-74 in Kota district, Rajasthan. B. G. (Rajasthan) Highway Private Limited, a project company wholly owned by Brij Gopal Construction, will implement the project under a Rehabilitate Operate Transfer modality. This is a brownfield project and once the concession period lapses, the project company will transfer the ownership of the project to the state. The concession period is 17 years including construction period of 2 years. Concession contract was awarded after a competitive bidding process based on lowest cost of construction and operation. The project agreement has been concluded with the NHAI within the framework of Hybrid annuity model. Under the HAM model, private developers and the state share the cost of construction in approximately debt/grant/equity ratio of 40/40/20 or 40% of the bid project cost shall be payable to the concessionaire by the authority in five equal installments linked to physical progress of the project. Concessionaire shall have to initially bear the balance 60% of the project cost through a combination of debt and equity. The project total cost was reported at $51.47 million and is being funded through debt/grant and equity. Of the total cost the authority will contribute 40% in availability payments in 5 equal installments, with the sponsor providing $10.6 million in equity and arranging $20.28 million in debt/debentures. Axis Trustee Services (Axis Bank) is the debenture trustee to the debenture holders. Financial close occurred on 2 August 2017. https://infrastructureindia.gov.in/view-project?p_p_id=viewproject_WAR_Projectportlet&p_p_lifecycle=0&p_p_col_id=column-1&p_p_col_count=1&_viewproject_WAR_Projectportlet_jspPage=%2Fhtml%2Fviewproject%2Fview.jsp&_viewproject_WAR_Projectportlet_ppp=Government+Infrastructure+Projects+%28PPP%29&_viewproject_WAR_Projectportlet_projectId=3725&_viewproject_WAR_Projectportlet_currURL=%2Fweb%2Fguest%2Fproject-list http://www.careratings.com/upload/NewsFiles/SplAnalysis/Hybrid%20Annuity.pdf Brij Gopal Construction to be added to sponsors' list;