Bangalore, 27th September, 2011:
GMR Group has emerged as the selected bidder through international competitive bidding, for six laning of 555 km long Kishangarh – Udaipur – Ahmedabad highway, the first brownfield mega highway project of the country. This project will be implemented through the Public Private Partnership (PPP) model on Design, Build, Finance, Operate and Transfer (DBFOT) model. This Highway section is a part of the Delhi Mumbai (Golden Quadrilateral) corridor and goes through the newly announced Delhi-Mumbai Industrial Corridor (DMIC) which has a very high growth potential for commercial and tourist traffic. The Letter of Award has been received by the Company and the Concession Agreement will be signed soon. This is the Group’s first Highway project in Western India.
Commenting on the significance of the project, Mr. Srinivas Bommidala, Business Chairman – GMR Urban Infrastructure & Highways said “The strategy for the Highways Business of the Group has been to bid with detailed preparation. This successful bid is the culmination of a thorough study of the traffic and its growth potential, carried out by the company utilizing the cross-verification of estimates by our internal team and an external team over 2 years. I am glad that our hard work has paid off. This particular project is attractive due to the fact that we shall earn revenue from Day One, being a brownfield project.”
- Toll collection from 8 plazas
- Busiest commercial corridor connecting Mumbai and Delhi and serves DMIC
- High potential for Auxiliary revenues
GMR Group entered the Highways business in 2001 by winning 2 projects with benchmark annuity offer. It received early completion bonus from NHAI for completing Tambaram – Tindivanam project ahead of schedule. Today, the Group has a balanced portfolio of 4 annuity projects and 6 toll projects (6 projects have already commenced operation) totaling 3,352 lane Kms across the length and breadth of the country.
- First Mega Project by NHAI
- Project Length – 3,336 lane Kms
- Concession period - 26 years
- Passes through Gujarat and Rajasthan
“It is the dawn of a new era in the Highway sector, as implementation of mega projects is being taken up under DBFOT scheme as a pre-curser to large expressway projects expected to come up in the near future. ”
Datuk Anuar Ahmad, Executive Vice President, Gas and Power Business of Petroleum Nasional Berhard said
“This acquisition marks PETRONAS Group’s maiden foray into the international power market, and is a major step in its effort to extend its existing integrated presence further along the energy value chain”
What it means for GMR?
About GMR Group
- First 4 to 6 laning highway project
- Entry into highest industrial growth area of India
- Largest national highway developer in the country today
The Company is a Bangalore headquartered global infrastructure major with interests in Airports, Energy, Highways and Urban Infrastructure. It has successfully employed the public-private partnership model to build a portfolio of high quality assets. The Company has 17 power assets of which 4 are operational and 13 are under various stages of implementation and 10 Road assets, of which 6 are operational and 4 are under construction. In the Airports sector, it has developed and commissioned the Greenfield International Airport at Hyderabad. The Company, besides operating the existing Delhi International Airport, has also built a brand new integrated terminal T3 which was commissioned in time for the Commonwealth Games in October 2010. It has also upgraded and is operating the Istanbul Sabiha Gökçen International Airport and recently acquired the Ibrahim Nasir International Airport in Male, the capital of the Maldives. The Company has also ventured into Sports and through its subsidiary, GMR Sports, owns the IPL promoted Delhi’s T-20 cricket team – the Delhi Daredevils. The Company is also committed to social development initiatives and executes these through its Corporate Social Responsibility arm, the GMR Varalakshmi Foundation which is present in 22 locations.
For Further details, please contact:
Manager – Media Relations
Tel: 080 - 40432507
E V P & Group Head – Corporate Communications
Tel: 080 – 40432059
For further information about GMR Group, visit www.gmrgroup.in