L&T Krishnagiri Walajahpet Tollway Private Limited

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L&T Krishnagiri Walajahpet Tollway Private Limited was created to implement a project to expand from four to six lanes 148.30 km Krishnagiri-Walajahpet section of National Highway 46 in Tamil Nadu. This project formed part of Phase-V of the National Highways Development Programme (NHDP), through which National Highways Authority of India (NHAI) was widening the existing four lane stretches of the Golden Quadrilateral (GQ) to six lanes. The Project Highway links various important towns in Tamil Nadu like Vellore, Vaniyambadi, Ambur, Krishnagiri, etc. and serves as one of the routes connecting Chennai with Bangalore/Salem. L&T Krishnagiri Walajahpet Tollway Private Limited was subsidiary of Larsen & Toubro (L&T). The project was awarded by NHAI under the Design, Build, Finance, Operate, and Transfer (DBFOT) model with a concession period of 30 years starting from Appointed Date (expected by Nov 2010) and until May 2040. The NHAI invited Expression of Interest from eligible ccompanies/JVs in 2009. There were 10 bidders who were shortlisted (refer NHAI website) The construction of the Project was expected to be completed within 30 months during which KWTPL was entitled to collect toll from the users. NHAI and L&T Krishnagiri Walajahpet Tollway Private Limited signed the concession contract in May 2010. The estimated project cost was to be INRs. 14.50 billion (US$317 million). The project reached financial closure in September 2010 when it secured an INR 10.28 billion term loan.