Hyderabad-based infrastructure company Navayuga Road Projects Pvt Ltd (NRPPL) has raised Rs 550 crore ($100 million) from Piramal Enterprises Ltd. The funds raised will be used to meet additional equity requirement of the road projects.
Last July, VCCircle had reported that Navayuga Engineering Co. Ltd (NEC), which records annual sales upwards of Rs 3,500 crore, was planning to hive off its road assets in an SPV and raise up to $200 million in private equity funding for the same.
Separately, we had reported on Piramal Enterprises identifying infrastructure as a key investment area for the firm.
IDFC Capital acted as the exclusive financial advisor to Navayuga on the deal with Piramal Enterprises.
NRPPL manages road portfolio, which includes build-operate-transfer and annuity projects. It is part of the Navayuga Group founded by CV Rao and develops roads and bridges, civil works for power and refinery projects, port development works, transmission lines, lined canals, sports complexes, housing projects, irrigation projects, water intake systems, dams and barrages, desalination plant and power projects.
The flagship group firm Navayuga Engineering Co had raised PE funding from 3i Group in 2006.
(Edited by Prem Udayabhanu)