Unlisted companies are NHAI's new major infrastructure developers

The new set is a mixed bag of great execution and stretched working capital cycles

Unlisted companies, including those with a good execution record and ones whose working capital position is weak, are executing a majority of the National Highways Authority of India’s (NHAI)’s projects. While some are expected to be listed, a few may be a matter of concern for the NHAI.

In 2018-19, unlisted companies were executing 63 per cent of the NHAI’s hybrid-annuity model (HAM) projects, according to a report by Equirus Capital. 

This share is higher at 88 per cent for the NHAI’s engineering, procurement and construction (EPC) projects, the report stated.

In the past one year, new unlisted companies like Adani