RRoads - Investor Relations - Left Menu
RRoads - Investor Relations
Introduction
Reliance Roads works as a business unit of Reliance Infrastructure Ltd (BSE: 500390 NSE: RELINFRA) Individual PPP projects are executed under SPVs as per requirement of Concession Authority like National Authority of India. These SPVs have Reliance Infrastructure as their holding company which invests in these SPVs as the Project Sponsor while the SPVs raise debt from banks and financial institutions for balance fund requirement.
As such there are no external investors in the roads business- however from a view point of future business growth potential and as a good governance practice, this Investor Relation page provides information that would be of interest to the investor community.
Portfolio Features
- Total Investment commitment of Rs. 11,430 crs with equity investment commitment of over Rs. 3000 crs
- 7 out of 11 projects partly funded through Govt. Viability Gap Funding i.e. Grants won on basis of competitive bidding –viz. NK Toll Road, DS Toll Road, TD Toll Road, TK Toll Road, SU Toll Road, JR Toll Road and DA Toll Road
- Mix of operational and projects under execution. Thus expertise of managing projects across project life cycles – from bidding to O&M
- 10 projects Revenue generating - NK Toll Road, DS Toll Road, PS Toll Road, HK Toll Road, TD Toll Road, SU Toll Road, GF Toll Road, DA Toll Road, JR Toll Road and TK Toll Road
- Revenue per day in excess of Rs. 2 cr
- Projects spread across the country thus good diversification of geographical risk– projects spread across 8 states of Tamil Nadu, Karnataka, Delhi, Haryana, UP, Maharashtra, Rajasthan & Gujarat
Future Growth Opportunity
Government is looking at an investment of over Rs 2.64 lakh crore in the road sector in the 12th Five-Year Plan (2012-17). Out of which, National Highways Authority of India (NHAI) will shell out Rs 87,000 crore while the remaining Rs 1.77 lakh crore i.e. 65% is envisaged from the private players.
Key Highlights for the FY 2013 - 2014
- Three Road Projects commenced operation: Jaipur Reengus (52 kms), third toll plaza of Salem Ulundurpet and Trichy Karur (61 kms).
- Operating/Developing 11 road projects of ~1000 kms worth ~ Rs. 12000 crore
- 10 road projects are revenue operational
- Remaining 1 project is expected to go operational by December 2014