Reliance Infrastructure on Friday (July 10) said its subsidiary, Mumbai Metro One Private Limited (MMOPL), has signed a debt restructuring agreement with the National Asset Reconstruction Company Limited (NARCL). The deal reduces MMOPL’s debt by over ₹1,100 crore and will lead to the withdrawal of insolvency proceedings against the company.

MMOPL, which operates Mumbai’s Versova-Andheri-Ghatkopar corridor, signed a Rs 2,771.32-crore debt restructuring agreement with the NARCL. The agreement is expected to provide relief to the financially stressed metro operator.

Reliance Infrastructure (RInfra), which holds a 74% stake in MMOPL, said in an exchange filing that the Master Restructuring Agreement (MRA) was executed on July 9. The Mumbai Metropolitan Region Development Authority (MMRDA) owns the remaining 26%.

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Under the agreement, MMOPL’s debt payable to NARCL will be reduced by more than ₹1,100 crore from the amount outstanding as of March 31, 2026, RInfra said. The company, however, did not disclose the exact revised debt, repayment schedule, interest rate or the accounting treatment of the reduction.

“The debt restructuring marks a significant milestone in resolving MMOPL’s debt and strengthening its financial position, enabling it to continue focusing on the efficient and uninterrupted operation and maintenance of the Versova–Andheri–Ghatkopar Metro Line-1, while reinforcing its long-term operational sustainability,” the company said.

Metro Line 1, Mumbai’s first operational metro corridor, covers around 11.4 km and links Versova in the western suburbs with Ghatkopar in the east through Andheri. RInfra said the line currently carries more than five lakh commuters a day.

NARCL gets oversight rights

Under the master restructuring agreement, NARCL will have the right to nominate a director to MMOPL’s board. A monitoring committee comprising representatives of the lender and the metro company will oversee implementation of the recast.

The agreement also contains restrictions on certain corporate actions without NARCL’s prior written consent. No shares are being issued to the lender as part of the restructuring, according to the regulatory disclosure.