ITNL gets Rs 427-cr road order in Ukraine, forges JV in China

NEW DELHI: IL&FS Transportation Networks Limited ( ITNL) on Friday said it has bagged a Rs 427-crore order in Ukraine for rehabilitation and improvement of a road stretch through a subsidiary in Spain.

" Elsamex S A, a wholly-owned subsidiary of the company in Spain, has been awarded the contract by the State Road Agency of Ukraine for rehabilitation and improvement of a road stretch...," ITNL said in a BSE filing.

The contract also includes "executing the routine and periodic" maintenance of the stretch over a period of seven years.

"The estimated total contract value is Euro 50.5 million (approx Rs 427 crore) which is being financed by the European Bank for reconstruction and development.

In a separate filing, ITNL said its Singapore subsidiary, ITNL International Pte Ltd (IIPL), has entered into a joint venture agreement with three Chinese firms in which IIPL would have 28 per cent equity holding.

The venture, Chongqing Heng Yi Project Maintenance and Technology Consultancy Ltd, will undertake and provide various services such as consultancy for testing and inspection of roads, tunnels and bridges; design of special maintenance work and introduce/application of new technology on maintenance management.

The venture has also plans to expand service to overseas projects, in particular SE Asia, Africa and South America and in the long term and venture into other related maintenance businesses.

"The partners to the joint venture agreement believe that there is huge market for testing and inspection of roads, tunnels and bridges and other services related to operation and maintenance of expressways in China," ITNL said.