H.G. Infras subsidiary helps it recover from intra-day lows

The Rajasthan-based road construction company, H.G. Infra, recovered from intra-day lows on Friday after it announced that its subsidiary has received the financial closure of road project in Haryana.

H.G. Rewari Ateli Highway, the company's wholly-owned subsidiary, which was incorporated under SPV was allotted the upgradation project of four lane of Rewari-Ateli Mandi (Package-III) section of NH-II from km 11.780 at Rewari to Ex. Km 43.445 near Ateli Mandi (designed length 30.45 km) as a feeder route in the state of Haryana on the hybrid annuity model in FY19 by National Highways Authority of India (NHAI). Under the HAM framework, the government provides 40 per cent of the total cost while the remaining has to be raised in the form of equity or loan. The work order was valued at Rs 580 crore.

The total order book of company, as end of Q2FY20, stood at Rs 6,270 crore.

The stock recovered from its intra-day low of Rs 261.10 on the BSE. Reacting to the news it touched its intra-day high of Rs 269. At 1.15, it traded at Rs 269, up by 2.28 per cent.