Rel Infrastructure to complete funding for 11 road projects

Rel Infra will close the last leg of raising a debt of Rs 8,400 crore next month for its ongoing 11 road projects worth Rs 12,000 cr.

By PTI | Sep 26, 2010, 10.03 PM IST

HYDERABAD: Reliance Infrastructure, part of Anil Ambani-led ADAG will close the last leg of raising a debt of Rs 8,400 crore next month for its ongoing 11 road projects worth Rs 12,000 crore, a top compnay official said.

Sudhir Hoshing, CEO (Roads Business) - Reliance Infrastructure said the negotiations are over and the funding will be closed in a months time.

"We have completed 95 per cent (of the debt raising process) and the remaining will be completed by next month. We are in negotiation with different banks and agencies and only a small portion of it is through ECBs" Hoshing told PTI.

He said Reliance Infrastructure currently has Rs 12,000 crore worth 11 road projects (Built-Operate-Trnsfer) on hand all of these are from the National Highways Authority of India.

He said the debt repayment will be 12 to 13 years since long terms debts are not available.

However, he refused to reveal which institution or institutions they are going to sign with.

To a question on the status of the projects, he said five projects will be operational in this year.

"Out of 11 projects we currently undertook, five are coming under operation this year. Financial closures for all the projects are over," he said adding they have two projects under operation.

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