Era Infra bags Hyd expressway project

Era Infra Engineering Limited (EIEL), a flagship company of the Delhi-based Era group, in a joint venture with Switzerland-based infrastructure development company, Induni, has bagged the Hyderabad expressway project valued at Rs 360 crore.

The build, operate and transfer (BOT) project entails construction of a 12-km long eight-lane expressway from Narsingi to Kollur and two service roads on either side. It involves construction of 12 minor bridges, five vehicular underpass and eight pedestrian underpass.

The project is on annuity basis and is scheduled to be completed in two-and-a-half years. It has been mooted by the state government for decongesting the traffic flow on the existing major arterials of the city and to meet the future demand. The company would commence the construction work from October 1, 2007.

"This project marks the company's second important BOT project acquisition with the first being the Gwalior bypass on annuity basis. We hope to bag more such prestigious projects in the near future," JL Khushu, EIEL director - technical, said.

According to Khushu, the Era group is expecting to bag an additional Rs 1,000 crore worth of highway projects in the current financial year. At present, it is executing projects valued at Rs 2,800 crore. These include laying of the Rs 550 crore Delhi-Bahadurgarh-Rohtak stretch of national highway in Haryana and the Rs 330- crore Gwalior bypass project.

Khushu told Business Standard all these projects were being implemented through joint ventures and on BOT basis. They were being funded through a debt of 70 per cent and equity of 30 per cent. The company's future plans include raising funds through a public issue of equity shares.

The Era group encompasses four entities - Era Infra Engineering Ltd, Era Building Systems Ltd, Era Landmarks (India) Ltd and Era E-Zone (India) Ltd. Khushu said Era Building Systems, engaged in realty business, was currently targeting B-class cities.