NARCL submits binding bid for Essel Infra’s road project debt

The National Asset Reconstruction Company of India Limited (NARCL) has presented a binding offer to creditors for the acquisition of Rs 9.88 billion debt associated with a road project undertaken by Essel Infraprojects in Ludhiana. NARCL proposes to acquire the debt of Ludhiana Talwandi Toll Road (LTTRPL), formed for the construction of a 78 km four-lane section of NH-95 between Ludhiana and Talwandi Bhai in Ferozepur district via Moga in Punjab. The government-backed asset reconstruction entity has put forth a bid of Rs 2.70 billion, representing a 27 per cent recovery for lenders. LTTRPL operates as a 74:26 joint venture between Essel Infraprojects and Pan India Network. Initially awarded in 2011 by the NHAI, the project was slated for completion by September 2014.