Sadbhav Infra to refinance 3 projects
Sadbhav Infrastructure Project, an arm of Sadbhav Engineering, is looking to refinance three more of its operating road projects, according to the Financial Express.
The interest cost post the refinancing of Rs 2,300 crore of debt on Ahmedabad Ring Road Infrastructure Limited (ARRIL), Maharashtra Border Check Post Network Limited (MBCPNL) and Shreenathji-Udaipur Tollway Pvt Limited (SUTPL) will come down to 9.75 per cent, resulting in an additional annual saving of Rs 40 crore on interest payment, says the report.
Over the last one year, the company has refinanced Rs 2,300 crore of debt on five of its operational roads, which included Aurangabad-Jalna (AJTL), Nagpur-Seoni (NSEL), Bijapur-Hungund (BHTPL), Dhule-Palesner (DPTL) and Hyderabad-Yadgiri (HYTPL), that has led to a saving of close to Rs 80 crore on interest payment on an annual basis, a senior company official has been quoted as saying in the report.
The article says that the average cost of debt for the operational road SPVs, post the refinancing of these five roads, came down to 10.4 per cent as on June 30, 2016 - a 90 basis points reduction on a year-on-year basis from around 11.3 per cent, during the three months of April-June 2015.