IRB Infrastructure Developers (IRB) shares surged nearly 3 per cent after it bagged the project for six-laning of Kishangarh–Udaipur– Ahmedabad section of around 125 km in Rajasthan by offering a premium of Rs 228.60 crore. The said section of NH-79 will be from km 90.00, near Gulabpura to km 214.870 at the end of Chitorgarh bypass.
At 10.06 am, the scrip was trdaing 1.67 per cent up at Rs 252.50. The scrip opened at Rs 255 and touched a high and low of Rs 255.55 and Rs 251.85, respectively. Later, the scrip ended 0.20 per cent up at Rs 248.85.
The BSE group ‘A’ stock of face value Rs 10 has touched a 52-week-high of Rs 272.20 on Oct 20, 2015 and a 52-week-low of Rs 197.00 on Jun 24, 2016. The promoters holding in the company stood at 57.43 per cent, while institutions and non-institutions held 36.29 per cent and 6.28 per cent respectively.
The highway project is to be constructed on design, build, finance, operate and toll (DBFOT) pattern, under National Highways Development Project (NHDP)’s Phase V and has a concession period of 20 years including construction period of 910 days. IRB will get tolling rights on project from the appointed date.
According to Financial Exprees newspaper, the company bagged the project after a rebidding that was conducted after Tata group’s TRIL Roads, which had initially emerged as the highest (H1) bidder for the 90-km Kishangarh-Gulabpura and the 125-km Gulabpura-Chittorgarh sectors under the BOT (toll) model, opted out of the process. The company said that it had “miscalculated” the projects’ cost and revenue potential.
“After bagging the project, IRB’s construction order book will stand to increase to approximately Rs 11,300 crores, to be executed in the next four years. This will boost the company’s construction orderbook visibility for next three to four year,” the company said in a release.
IRB Infrastructure Developers undertakes development of various infrastructure projects in the road sector through several special purpose vehicles.