hg infra engineering has completed the sale of a 49% stake in H.G. Raipur Visakhapatnam OD-5 Private Limited to Neo Infra Income Opportunities Fund for a total consideration of ₹377.40 crore. The transaction, finalized on June 05, 2026, marks the exit of the infrastructure entity from its status as a wholly owned subsidiary, though it remains a subsidiary of the company. The deal was executed pursuant to a Securities Purchase Agreement signed on December 18, 2025.

The financial impact of the divestment is significant given the subsidiary's contribution to the consolidated financials. For the financial year ended March 31, 2026, H.G. Raipur Visakhapatnam OD-5 Private Limited reported revenue of ₹325.59 crore, accounting for 6.22% of the consolidated revenue. The unit’s net worth stood at ₹139.59 crore, representing 4.28% of the consolidated net worth as of the same date.

Transaction Details

The consideration of ₹377.40 crore is being paid in two tranches. The company received the first tranche of ₹121.80 crore on June 05, 2026, against the transfer of the 49% stake. The second tranche, corresponding to the remaining 51% stake, is scheduled to be received on or before September 30, 2026, subject to the completion of that sale.

Buyer Profile

The acquirer, Neo Infra Income Opportunities Fund, is a registered scheme under Neo Credit Alternatives Investment Trust. It is classified as a Category II Alternative Investment Fund registered with the Securities and Exchange Board of India and is managed by Neo Alternative Asset Managers Private Limited. The filing confirms that the buyer does not belong to the promoter or promoter group, and the transaction does not qualify as a related party transaction.

H.G. Infra Engineering Limited reported a 32.6% decline in standalone net profit to ₹3,891.36 million for the financial year ended March 31, 2026, compared to ₹5,771.16 million in the previous year. Revenue from operations decreased by 6.4% to ₹56,666.77 million from ₹60,518.81 million in FY25. The Board of Directors approved the audited financial results for the quarter and year ended March 31, 2026, at a meeting held on May 28, 2026, in compliance with SEBI Listing Regulations. The transcript of the earnings conference call held on May 29, 2026, is available on the company's website.

The consolidated net profit for the year stood at ₹3,298.09 million, with revenue from operations of ₹52,346.74 million. The company's consolidated debt increased to ₹49,339.34 million as of March 31, 2026, from ₹40,918.64 million in the previous year. ICRA reaffirmed its rating of AA- (Positive) for the company's long-term fund-based facilities.

Order Book Position

The order book as of March 31, 2026, was ₹1,01,471 million. Following new orders worth ₹55,914 million received after the fiscal year-end, the total order book increased to ₹1,57,386 million. The order book was diversified across segments, with HAM Road projects accounting for 43.72%, followed by Railway at 27.84%, Energy Vertical at 19.02%, and EPC Road at 9.43%.

Financial Performance

Corporate Governance

The Board recommended a final dividend of ₹2.00 per equity share, subject to shareholder approval. The record date for the final dividend is fixed as Wednesday, August 12, 2026, and the 24th Annual General Meeting is scheduled for Wednesday, August 19, 2026. Mr. Vikas Jain was appointed as the Chief Financial Officer and Key Managerial Personnel effective from July 13, 2026, while Mr. Rajeev Mishra ceased to serve as the Chief Financial Officer and assumed the role of Head Investor Relations and Corporate Affairs.