Ramky consortium ties up funds for road project

Ramky Infrastructure Limited and IL&FS Transportation Networks Limited-led consortium has achieved financial closure with respect to the debt syndication of Rs1,060 crore through Canara Bank. The consortium is a 50:50 joint venture between city-based integrated infrastructure construction and development management company Ramky and IL&FS

The consortium has been awarded the project by the Andhra Pradesh Road Development Corporation for four-laning (212.5 kilometre) of the existing two-lane stretch from Narketpally to Addanki and Medarametla road on state highway-II. The cost of the project is Rs1,760.53 crore.

The concession agreement for the project, to be executed under a design, build, finance, operate and transfer (DBFOT) format, was signed on July 23, 2010. The project is on a toll basis with a concession period of 24 years, including the construction period of 910 days, Ramky Infra said in a filing to the Bombay Stock Exchange (BSE) on Tuesday.

Ramky Infra’s scrip ended the trade at Rs 302 on the BSE today, down 1.52 per cent over the previous close of Rs 306.65.