Singapore investors grow Indian road portfolio
Singapore’s Cube Highways and Infrastructure III Pte Ltd has entered into an agreement with Reliance Infrastructure Limited to acquire a 100% stake of DA Toll Road Private Limited (DATRPL), a toll road in the state of Haryana/Uttar Pradesh.
Following the transaction, the Cube Highways group portfolio will have over 4,500 lane-kilometers of highways across India, said Cube Highways on 18 Mar 2019.
DATRPL operates the 180-kilometer, six-lane toll road connecting the national capital, Delhi, with Agra on National Highway-2 (NH-2). The road is a 26-year concession, granted in 2010, for strengthening and widening the four-lane highway to a six-lane configuration and began collecting tolls in October 2012.
“We are pleased to expand our presence in the Indian highway sector with the acquisition of another quality asset. This investment reinforces Cube Highways’ position as a leading player in the Indian highway sector and furthers its disciplined growth plan of acquiring strategically located roads from leading construction companies and developers,” said Gautam Bhandari, Director of Cube Highways and Partner, I Squared Capital.
“DATRPL forms a core part of NH 2, a main artery of the national highways network connecting North to East and Central India. The road has robust growth potential as it connects major industrial and tourist centers in North India including Delhi, Faridabad, Mathura and Agra. We anticipate even further growth following completion the entire NH 2 road project,” said Dr. Harikishan Reddy, CEO of Cube Highways Advisors.
The completion of the transaction is contingent upon fulfillment of certain customary regulatory and lender approvals.
Cube Highways and Infrastructure Pte Ltd is a Singapore-based company investing in road and highway projects, along with other select infrastructure sectors in India.
Cube Highways is an independent, professionally-managed platform leveraging the extensive transportation experience of its management and execution advisory teams.
Shareholders of Cube Highways are leading international investors consisting of I Squared Capital, a wholly-owned subsidiary of the Abu Dhabi Investment Authority, International Finance Corporation, and a consortium of Japanese investors including Mitsubishi Corporation, Japan Overseas Infrastructure Investment Corporation for Transport and Urban Development, East Nippon Expressway Company Ltd and Japan Expressway Company International Ltd.
Cube Highways and Infrastructure III Pte. Ltd. was formed by I Squared Capital and a wholly-owned subsidiary of the Abu Dhabi Investment Authority and is an affiliate of Cube Highways. fiinews.com