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GVKPIL's step-down subsidiary signs financing document with Axis Bank

17 Nov 2011 Evaluate

GVK Power & Infrastructure’s (GVKPIL) step-down subsidiary, GVK Bagodara Vasad Expressway (GVKBVEPL) has signed the financing documents on November 16, 2011 with Axis Bank. GVKBVEPL is implementing the project for six Laning of existing three lanes of Bagodara -Wataman - Tarapur - Vasad Road SH-8, Km 0/0 to Km 101/9 in the State of Gujarat on build, operate and transfer (BOT) basis.

The project cost is Rs 1189.03 crore which would be financed by means of equity of Rs 297.26 crore and debt of Rs 891.77 crore. As per the concession agreement executed by GVKBVEPL with Gujarat State Road Development Corporation, the concession period for the project is 27 years including construction period of 30 months.

Recently, the company’s subsidiary - Bangalore Airport & Infrastructure Developers had acquired 53,844,000 equity shares of Rs 10 each amounting to 14% in Bangalore International Airport (BIAL) from Siemens Project Ventures GmbH (Siemens) at a cost of Rs 613.82 crore.

GVK Power & Infrastructure is engaged in infrastructure development in areas of power, airports and roads. Incorporated in 1994, the company till date has invested over Rs 5,000 crore in infrastructure projects.

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