Ashoka Buildcon Limited , a prominent infrastructure development company, has announced an extension to the completion date for a significant transaction involving its subsidiary, Ashoka Concessions Limited (ACL). The deal, which involves the sale of five highway subsidiary companies to Maple Infrastructure Trust, has been pushed to November 30, 2025.

Transaction Details

The extended transaction involves the sale of the entire share capital, including the repayment of shareholder loans, in five subsidiary companies operating highway projects across India. These subsidiaries are:

Extension Background

This extension is not the first for this transaction. Previously, on October 1, 2025, the company had announced an extension of the indicative date for completing conditions precedent up to November 20, 2025. The further extension to November 30, 2025, has been mutually agreed upon with the proposed investor, Maple Infrastructure Trust (formerly known as Indian Highway Concessions Trust).

Regulatory Compliance

Ashoka Buildcon has emphasized that this disclosure is in compliance with Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. This ensures transparency and keeps stakeholders informed about significant corporate actions.

Implications

The extension suggests that the transaction is still in process, indicating the complexity and scale of the deal. It also reflects the company's commitment to completing the transaction, despite the extended timeline. Stakeholders will be keenly watching the progress of this significant corporate action, which could have substantial implications for Ashoka Buildcon's future operations and financial structure.

Ashoka Buildcon Limited , a prominent infrastructure company, has reported mixed financial results for the second quarter of fiscal year 2025, marked by significant developments in its subsidiary portfolio and project pipeline.

Financial Performance

For the quarter ended September 30, 2025, Ashoka Buildcon reported consolidated revenue of ₹1,85,118.02 lakhs, a decrease from ₹2,48,893.10 lakhs in the same quarter of the previous year. The company's profit before tax saw a substantial decline to ₹6,424.14 lakhs, compared to ₹54,010.34 lakhs in Q2 of the previous fiscal year.

Segment Performance

The company's performance across its three main segments was as follows:

The BOT / Annuity Projects segment showed strong performance, while the Sale of Goods segment reported a loss.

Subsidiary Divestment

A significant development during the quarter was the sale of five Hybrid Annuity Mode (HAM) subsidiaries. The company and its subsidiary Ashoka Concessions Limited (ACL) completed the divestment of their entire stake in these subsidiaries for a consideration of ₹1,14,608.00 lakhs. However, this transaction resulted in an exceptional loss of ₹21,929.26 lakhs, which impacted the overall profitability for the quarter.

Ongoing Divestments

Ashoka Buildcon is in the process of divesting its stakes in six more HAM subsidiaries, five Build Operate Transfer (BOT) subsidiaries, and GVR Ashoka Chennai ORR Limited. These assets have been classified as held for sale, indicating the company's strategic shift in its project portfolio.

Project Cancellation

The company announced the cancellation of a significant infrastructure project by the Mumbai Metropolitan Region Development Authority (MMRDA). The project, valued at ₹288.18 crore plus GST, for the design and construction of a creek bridge from Kolshet to Kalher, was cancelled due to administrative reasons. MMRDA cited a revised alignment resulting in a 39% increase in deck area and a 33.5% cost escalation as the primary reasons for the cancellation.

Regulatory Matters

The company continues to face an ongoing regulatory issue related to a project executed in Bihar. The matter, which involves allegations of bribery and irregularities in project execution, is currently sub-judice before the Court of Special Judge, CBI, Bihar. Ashoka Buildcon maintains that it has adhered to contractual obligations and does not expect any material impact on its financial results.

Looking Ahead

Despite the challenges faced in Q2, Ashoka Buildcon's management remains focused on streamlining its project portfolio and improving operational efficiency. The ongoing divestments of subsidiaries and the reclassification of certain assets as held for sale suggest a strategic realignment of the company's business model.