CRISIL Ratings on Monday assigned a provisional AA- rating with a stable outlook to India’s first road projects bid out on the toll-operate-transfer (TOT) model by the National Highways Authority of India (NHAI).
CRISIL said the rating was assigned to the bank facilities of nine special purpose vehicles (SPVs) sponsored by Macquarie Asia Infrastructure Fund 2 (MAIF 2) which had successfully bid and won the first TOT bundle.
MAIF 2 had offered Rs 9,681.5 crore and emerged the highest bidder for the projects. This is the single-largest foreign investment in India’s roads sector.
The TOT model, introduced by the NHAI, awards packages of already operational road assets to winning bidders who are licensed to collect toll and maintain roads over the life of the concession.