Cube Highways Trust project SPV Walayar Vadakkencherry Expressway Private Limited (WVEPL) has secured a significant concession period extension following an arbitral award against the National Highways Authority of India (NHAI).

The Arbitral Tribunal ruled that WVEPL is entitled to an extension of 1,423 days. The tribunal further held that NHAI’s recommendation to reduce the concession period by 1.5 years is invalid and not binding on the SPV.

Legal Background

WVEPL had initiated arbitration proceedings against NHAI regarding its claim for modification of the concession period under the terms of the concession agreement. The dispute centered on the duration adjustments applicable to the expressway project.

Award Details

The outcome, dated September 21, 2026, addresses the specific claims for period modification. The award effectively negates the earlier proposal by NHAI to shorten the operational timeline, thereby securing a longer revenue-generating window for the project.

Cube Highways Trust executed a binding offer on September 14, 2026, to acquire 100% equity in two infrastructure special purpose vehicles (SPVs). The cash deal targets Apco Chetak Ultraway Private Limited and Apco Chetak Expressway Private Limited, expanding the trust’s asset base in Uttar Pradesh.

The sellers are Apco Infratech Private Limited and Chetak Enterprises Limited. The acquisition is expected to strengthen the trust’s revenue base and enhance yield and net asset value (NAV). The total consideration remains subject to adjustments and will be disclosed upon execution of definitive agreements.

Asset Details

The target entities operate road infrastructure assets in Uttar Pradesh. Both SPVs have remaining concession lives between eight and nine years.

Transaction Structure

The deal is not a related-party transaction, with no promoter or group company interest in the acquired entities. Cube InvIT’s portfolio will comprise 29 SPVs across India post-acquisition, assuming completion of the current pipeline.

Completion is subject to satisfaction of conditions precedent, including statutory clearances from the National Highways Authority of India (NHAI) and Income Tax Authorities. The investment manager, Cube Highways Fund Advisors Private Limited, filed the intimation pursuant to Regulation 23(6) of the SEBI Infrastructure Investment Trusts Regulations, 2014.