R-Infra raises Rs 7,000-crore debt

The Anil Ambani-owned Reliance Infrastructure today said it had tied up loans of Rs 7,000 crore for the development of Mumbai Metro Phase II rail link, which will connect Mumbai’s suburbs, Charkop and Mankurd.

The financial closure of the project was led by Axis Bank, and witnessed participation from IDBI Bank, Reliance Capital and its associates, the company said in a press release.

“We have tied up the entire debt funding and are ready to achieve financial closure for the project within the stipulated nine-month period in the concession agreement. We will start the construction of the project shortly,” Reliance Infrastructure CEO & Whole-time Director Lalit Jalan said.

This 32-km, fully elevated metro line with 27 stations along the route costs Rs 11,500 crore. It is to be funded through a mix of equity, debt and a grant from the Maharashtra government. The project will get a viability gap grant of Rs 2,298 crore from the state government.