IJM awarded RM1.5 billion India’s Solapur-Bijapur highway job
PETALING JAYA, November 22, 2017 - IJM Corporation Berhad (“IJM”) has been awarded a 109 km highway project worth approximately RM1.5 billion (INR 2,325 crores) in India.
IJM announced that it has accepted a letter of award from the National Highway Authority of India (NHAI) to develop the Solapur-Bijapur section of the new National Highway 52 between the states of Maharasthra and Karnataka.
Awarded on a design-build-finance-operate-transfer basis, NHAI will provide a grant of about RM235.86 million (INR367 crores) for the project. The concession is for 20 years, including a construction period of 30 months. Work is expected to begin in mid-2018 and is scheduled for completion in 2021.
The project will involve the rehabilitation, upgrading and widening of the existing two-lane carriageway to four-lane standards with bypasses and the construction of flyovers, bridges, road intersections, railway overbridge as well as the operation and maintenance of two toll plazas.
Connecting southern India with northern India, the tollway will serve as an alternative route to the North-South Corridor of the National Highways Development Programme (NHDP).
The development of this four-laning project with bypasses at Solapur, Bijapur and construction of six flyovers will help reduce time and costs of travel as well as expedite the improvement of infrastructure in Maharashtra and Karnataka .
“We are honoured that IJM has been entrusted by NHAI again with this important infrastructure project to develop the Solapur-Bijapur tollway,” said Dato’ Soam Heng Choon, CEO & Managing Director, IJM Corporation Berhad.
“The award affirms IJM’s proven capabilities in roads and highways sector. It will see us proudly utilising our skills and experience, building on our track record of delivering 16 major road projects totalling 1,378 km in India since 1998.”
At RM1.5 billion (INR 2,325 crores), the Solapur-Bijapur tollway will be the largest Indian project undertaken by IJM in value.
The project is not expected to have any significant effect on the earnings or net assets per share of the Group for the financial year ending 31 March 2018, but is expected to contribute positively to the future earnings of the Group.
Since March this year, Dewas Bypass Tollway Pte Ltd, a wholly-owned subsidiary of IJM has been involved in a RM 193.8 million project to widen and upgrade 19.8 km of the Dewas Bypass bypass road in Madhya Pradesh, India. IJM’s Infrastructure Division currently operates two tolled highways in India – the 246.8km Rewa Tollway and 68.5km Chilkaluripet-Vijayawada Tollway and owns 30% of SwarnaTollway.
- End -
About IJM Corporation Berhad
IJM Corporation Berhad (“IJM”), formed in 1983, is today one of Malaysia’s leading construction groups and is listed on Bursa Malaysia KLCI. Its business activities encompass construction, property development, manufacturing and quarrying, infrastructure concessions and plantations.
Headquartered in Selangor, its operations are in 10 countries, with primary focus in Malaysia, India and Indonesia. The Group presently has a market capitalisation of around RM11 billion and as of November 2017, the Group employs around 4,800 employees and has total assets of RM20.5 billion.
The Group’s belief in a shared destiny with its employees remains pivotal to its growing success while its reputation for professionalism, performance and good governance is acknowledged by customers and investors alike from its numerous corporate and industry accolades. IJM is committed to ethical business conduct and subscribes to the principles of good corporate citizenship for sustainable growth and development.