The India Resurgence Fund, promoted by Piramal Enterprises and Bain Capital Credit, along with international co-investors, has announced an investment of USD 75 million (Rs 555 crore) in Thrissur Expressway (TEL), a part of the Hyderabad-based KMC Constructions.
The investment will be used to restructure TEL’s existing debt and for its last-mile financing.
TEL, a special purpose vehicle of KMC, is a 28 km highway project between Thrissur and Vadakkanchery in Kerala. It is part of the National Highway that connects Kochi in Kerala with Salem in Tamil Nadu and passes through several important cities such as Erode, Coimbatore, Palakkad and Thrissur.
The National Highway Authority of India (NHAI) had awarded the project in 2009 to widen the two-lane stretch to six lanes on a design, build, finance, operate, and transfer (DBFOT) basis for a concession period of 20 years.
On completion, the project will significantly improve the connectivity between the key states of South India, namely, Kerala and Tamil Nadu and create significant efficiency as well as savings for both commercial and passenger traffic.
Equirus Capital is the exclusive advisor to KMC on this transaction.