HG Infra Engineering gains over 5% on emerging lowest bidder for road project worth ₹763 crore

In a filing to the stock exchanges, the company said that it had been declared the lowest bidder (L-1 bidder) for a project to improve and upgrade two lanes with paved shoulders on the NH227B Bahuvan Madar Majha to Jagarnathpur Kosi Parikrama Marg in Uttar Pradesh.

The company informed the bourses that the upgradation work will be carried out on a Hybrid Annuity Mode (HAM).

The company said that the project cost estimated by MoRTH was ₹898.5 crore and HG Infra Projects bid cost was ₹763.11 crore. The total length of the project is 63.84 km. The project is estimated to be completed within two years.

Last month, on July 20, HG Infra and Engineering informed the stock exchanges that it received a letter from the East Central Railway informing the company about the appointed date for a project awarded earlier. According to the letter, the appointed date for the project was fixed at June 22, 2024.

As part of the project, the company will undertake the construction of a double-line track formation, including earthwork, blanketing, minor bridges, major bridges, electrification works, and other miscellaneous works for a 32.5T axle load, including Electrical Traction Distribution (TRD 2x25 KV) in the Gaya-Son Nagar section, DDU Division in Bihar of the East Central Railway.

The size of the order received from the East Central Railway was ₹709.11 36 crore. The estimated time period for execution of the project is 36 months.

HG Infra Engineering Limited (HGIEL) is an infrastructure development company and has more than 21 years of expertise in roads and highways.

HG Infra Engineering shares closed 4% higher at ₹1,707 apiece on the NSE.