Phagwara – Rupnagar section of NH 344A

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The project entails a four-laning of an 81 km stretch of Phagwara - Rupnagar which passes through Banga town and the proposed Nawashahir bypass, and concludes at Rupnagar. The sponsor, GR Infraprojects Limited, is a sole owner of the contract and will develop the project via its project company - GR Phagwara Expressway Pvt Ltd. The concession was awarded to GR Infraprojects as a result of a bidding process within the Hybrid annuity model. The criteria of the auction is the lowest bid for construction and operation. The project agreement has been concluded with the NHAI for a period of 15 years. The section will be developed under a Build, Rehabilitate, Operate and Transfer basis (Brownfield project). After completion, the maintenance of the project will be done by the project company, for which the NHAI will pay the concessionaire annualized operations and maintenance cost during this period. 40% of the project cost will be funded by the government, under the Hybrid annuity model, while the concessionaire will arrange the balance 60%. The 60% funding will be split in 45:15 bank loan to sponsor's equity. During the operation period, NHAI will pay concessionaire this 60% in semi-annuity, along with interest thereon and maintenance costs. The project is estimated to cost Rs 1,444 crore ($222.5 million as per estimated FC date). Financial closure was reported by press release of CARE ratings. GR Infraprojects Limited (Factiva) - press release mentions that FC for this particular project has been achieved. However, exact date is not available, and estimated here to be April 2017. Sponsor: GR Infraprojects