IRB soars on winning arbitration award worth ₹1,681 crore
Upstox
1 min read • Updated: January 29, 2024, 3:05 PM
Summary
IRB Infrastructure Developers won compensation worth ₹1,681 crore for a highway project.
Shares of IRB Infrastructure Developers have surged 16% today. This comes after it won compensation worth ₹1,681 crore for a highway project.
Yedeshi Aurangabad Tollway (YATL), which is a special purpose vehicle of IRB Infrastructure Trust, had commenced construction for the highway project in 2015. It was scheduled to be completed within 910 days – 26 December 2017.
“However, due to delay in handing over of land and for other reasons attributable to NHAI, the project completion on the entire project length was delayed and the project was finally completed on 24 September 2020,” said the management of IRB Infrastructure.
Against this backdrop, YATL had to incur time and cost overrun. Hence, it claimed compensation from NHAI.
The Arbitration Tribunal has now granted the award in favour of YATL and said that IRB will receive compensation worth ₹1,681 crore.