Highway Infrastructure Limited Withdraws NHAI Letter of Acceptance, Faces Three-Month Debarment

Highway Infrastructure Limited has withdrawn its Letter of Acceptance (LOA) from the National Highway Authority of India (NHAI) for operating the Venkatapalem Fee Plaza in Andhra Pradesh, leading to a three-month debarment from participating in NHAI tenders.

Withdrawal Decision and Regulatory Filing

The company announced this decision on April 09, 2026, pursuant to Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. This withdrawal follows previous intimations filed on March 26, 2026 and April 02, 2026 regarding the receipt of the LOA for the Venkatapalem Fee Plaza operations.

Debarment Details and Impact

Following the non-acceptance of the LOA, NHAI has imposed specific penalties on the company as outlined in the regulatory disclosure:

Parameter	Details
Regulatory Authority	National Highway Authority of India (NHAI)
Action Taken	Debarment from pre-qualified bidders list
Debarment Period	Three months
Scope of Debarment	Company and all directors/owners
Tender Eligibility	Ineligible for NHAI tenders during debarment

Regulatory Compliance and Disclosure

The company has provided detailed disclosure in compliance with SEBI Circular SEBI/HO/CFD/PoD2/CIR/P/0155 dated November 11, 2024. The announcement was signed by Palak Rathore, Company Secretary & Compliance Officer, ensuring proper regulatory adherence.

Business Implications

The three-month debarment period will prevent Highway Infrastructure Limited from participating in any NHAI tender processes, potentially affecting the company's ability to secure new highway infrastructure projects during this timeframe. The debarment extends beyond the company to include all its directors and owners, representing a comprehensive restriction on NHAI-related business activities.

The company has fulfilled its disclosure obligations by informing both BSE Limited and National Stock Exchange of India about this development, maintaining transparency with stakeholders regarding this operational setback.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-2.63%	-5.43%	+12.83%	-34.39%	-57.02%	-57.02%

Highway Infrastructure Limited has announced its decision to withdraw the Letter of Acceptance (LOA) issued by the National Highway Authority of India (NHAI) for operating the Venkatapalem Fee Plaza in Andhra Pradesh. The company filed an intimation on April 02, 2026, followed by a detailed disclosure on April 07, 2026, under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

NHAI Penalty Details

Following the company's non-acceptance of the LOA, NHAI has imposed a financial penalty on Highway Infrastructure Limited. The regulatory filing provides comprehensive details about the penalty structure and timeline.

Parameter:	Details
Penalty Amount:	Rs. 26,33,000 (Twenty Six lakhs Thirty Three Thousand)
Imposing Authority:	National Highway Authority of India (NHAI)
Contract Nature:	Award of contract for operation and collection of user fee at Venkatapalem Fee Plaza
Reason for Withdrawal:	Project not commercially valuable

Financial Impact Assessment

The company has provided a detailed assessment of the financial implications through its regulatory disclosure. According to the filing under SEBI Circular SEBI/HO/CFD/CFD-PoD-1/P/CIR/2023/123 dated July 13, 2023, the financial impact is limited to the penalty amount with no additional operational consequences.

Impact Category:	Details
Financial Impact:	Nil except penalty amount of Rs. 26,33,000
Operational Impact:	No impact on other activities
Payment Status:	No delay or default in payment
Contract Execution:	Not Applicable

Regulatory Compliance Framework

The announcement follows proper regulatory protocols with Highway Infrastructure Limited filing comprehensive disclosures to both BSE Limited (Scrip Code: 544477) and National Stock Exchange of India Limited (Scrip Symbol: HILINFRA). The company's decision was communicated through its Company Secretary & Compliance Officer, Palak Rathore, ensuring complete transparency regarding the withdrawal and its financial consequences.

Project Background

The Venkatapalem Fee Plaza was intended for operation and collection of user fees in Andhra Pradesh under the NHAI contract. However, the company's Board determined that the project lacked commercial viability, leading to the strategic decision to withdraw from the LOA. This withdrawal resulted in the automatic penalty imposition as per NHAI's contractual terms and conditions.