Ceigall India has executed a concession agreement with the National Highways Authority of India (NHAI) for a highway project in Punjab valued at ₹603.00 crore. The agreement was signed by the company's Project Special Purpose Vehicle (SPV), Ceigall Ambala Chandigarh Zirakpur Limited, on June 9, 2026. The project involves the construction of a 6-lane access-controlled spur connectivity, spanning a total length of 10.300 km, under the Hybrid Annuity Mode (HAM).

Project Details

The concession agreement establishes a framework for the development and long-term maintenance of the highway section. The project connects the Ambala-Chandigarh section of NH-205A to the Zirakpur Bypass. The following table summarizes the key parameters of the agreement:

Agreement Highlights

The deal covers both the execution and operational maintenance of the highway project. Key aspects include an 18-month construction period from the commencement of work, followed by a 15-year operation and maintenance obligation. The project cost excludes GST. The execution of this agreement underscores Ceigall India's active participation in India's road infrastructure development through the Hybrid Annuity Mode.

Ceigall India Limited has entered into a definitive agreement to divest its stake in Ceigall Malout Abohar Sadhuwali Highways Private Limited (CMASH), a road infrastructure project company in Punjab, to Neo Infra Income Opportunity Fund. The transaction is valued at approximately ₹177 crore, including cash surplus, and was formalized through a Share Purchase Agreement executed on June 3, 2026. This strategic asset divestment aims to unlock value and strengthen financial flexibility for future growth opportunities.

The agreement follows a binding offer letter signed earlier this year. Ceigall India and its wholly owned subsidiary, Ceigall Infra Projects Private Limited, will transfer their shareholding in CMASH to the infrastructure-focused investment fund managed by Neo Alternative Asset Managers Private Limited. The transaction is expected to be completed upon the fulfillment of customary conditions precedent outlined in the Share Purchase Agreement.

Financial Impact of Divestment

CMASH is a step-down subsidiary of Ceigall India. For the financial year ended March 31, 2026, the project company reported a turnover of ₹82.69 crore, contributing around 2.1% of Ceigall India's consolidated turnover. The net worth of the subsidiary stood at ₹136.11 crore, representing approximately 6.3% of the group's consolidated net worth.

Strategic Rationale and Compliance

Ramneek Sehgal, Chairman & Managing Director of Ceigall India Limited, stated that the transaction reflects a disciplined approach towards capital allocation and portfolio optimization. The monetization of operational infrastructure assets allows the company to recycle capital to support future growth opportunities across its infrastructure development and construction businesses.

The transaction is not a related-party transaction, and the purchaser does not belong to the promoter group of Ceigall India. The intimation was submitted to the exchanges in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.