Welspun achieves financial closure under hybrid annuity model for highway work1 min read . Updated: 12 Sep 2016, 09:56 PM IST
Welspun Enterprises has managed funding of around Rs400 crore from a consortium of banks including Punjab National Bank
New Delhi: Welspun Enterprises Ltd on Tuesday became the first company to achieve financial closure under the hybrid annuity model for highway construction in which the government will share 40% of the project cost.
The company has managed funding of around ₹ 400 crore from a consortium of banks including Punjab National Bank (PNB), State Bank of Hyderabad and Union Bank of India where PNB is lending ₹ 200 crore and the rest are giving loans of ₹ 100 crore each.
The company will construct a small stretch on the 14-lane Delhi-Meerut expressway at a cost of ₹ 841.50 crore in a span of 2.5 years.
The expressway will have a six-lane access control road flanked by two four-lane highways, including a lane dedicated to a cycling track. The stretch is part of 96-km expressway for smooth transit between Delhi and Meerut.