IRB Infrastructure Trust Secures ₹3,087 Crore NHAI Toll Project in Odisha

IRB Infrastructure Trust , an arm of IRB Infrastructure Developers Ltd, has received a letter of award (LoA) from the National Highways Authority of India (NHAI) for a significant toll road project in Odisha. The trust will pay an upfront bid concession fee of ₹3,087 crore to NHAI to secure tolling rights for a 20-year operational period.

Project Specifications

The awarded project involves comprehensive tolling, operation, maintenance, and transfer responsibilities for the Chandikhole–Bhadrak section of National Highway-16. This strategic highway stretch spans approximately 74.5 km and forms part of the toll operate transfer (TOT)-18 bundle, representing a crucial infrastructure asset in Odisha's transportation network.

Parameter:	Details
Project:	TOT-18 Bundle
Highway Section:	Chandikhole–Bhadrak (NH-16)
Length:	74.50 km
Upfront Fee:	₹3,087 crore
Concession Period:	20 years
Location:	Odisha

Market Performance

Shares of IRB Infrastructure Trust closed at ₹41.88 per unit on BSE, marking a 0.88% decline from the day's opening price. The stock performance reflects market sentiment following the project announcement.

Recent Contract Wins

This latest award adds to IRB Infrastructure Trust's expanding portfolio of NHAI projects. In November, the trust secured a substantially larger ₹9,270 crore NHAI project for the TOT-17 bundle, covering a 366.10 km stretch in Uttar Pradesh. The TOT-17 project encompasses the Lucknow-Ayodhya-Gorakhpur section of NH-27 and the Lucknow-Sultanpur section of NH-731.

Recent Projects:	Value	Length
TOT-18 (Odisha):	₹3,087 crore	74.50 km
TOT-17 (UP):	₹9,270 crore	366.10 km

Growth Outlook

The Mumbai-based highway developer has reaffirmed its double-digit toll revenue growth guidance for FY26. The company remains on track to achieve approximately ₹4,000 crore in revenue from its construction business during the current fiscal year, demonstrating strong operational momentum across its infrastructure portfolio.

IRB Infrastructure Trust has successfully executed the concession agreement with the National Highways Authority of India (NHAI) for the TOT-17 highway project through its project SPV, IRB Harihara Corridors Private Limited. This significant development follows the earlier agreement announcement and marks the formal commencement of the toll-operate-transfer project in Uttar Pradesh.

Concession Agreement Execution

The concession agreement has been formally executed between IRB Harihara Corridors Private Limited, the project Special Purpose Vehicle (SPV) incorporated by IRB Infrastructure Trust, and NHAI. This agreement covers the tolling, operation, maintenance and transfer of multiple highway sections across Uttar Pradesh under the TOT-17 project framework.

Parameter:	Details
Project SPV:	IRB Harihara Corridors Private Limited
Agreement Type:	Concession Agreement
Partner:	National Highways Authority of India (NHAI)
Model:	Toll-Operate-Transfer (TOT)

Project Scope and Financial Details

The TOT-17 project encompasses three major highway sections in Uttar Pradesh. The trust will pay an upfront bid concession fee of ₹9,270 crores to NHAI for the project rights. The comprehensive project includes strategic highway corridors connecting key cities in the state.

Highway Section:	Route Details
Lucknow-Ayodhya:	NH-28 (New NH-27) from km 15.400 to km 137.970
Ayodhya-Gorakhpur:	NH-28 (New NH-27) from km 136.759 to km 252.860
Lucknow-Sultanpur:	NH-731 from km 90.370 to km 217.795

Financial Impact and Portfolio Growth

The execution of this concession agreement will significantly expand IRB Infrastructure Trust's asset portfolio. The trust's asset portfolio is expected to increase by 20% to ₹65,000 crores with the addition of the TOT-17 project. The project operates under a tariff revision mechanism with fixed 3% per annum plus 40% of Wholesale Price Index (WPI).

Financial Metric:	Value
Bid Concession Fee:	₹9,270 crores
Portfolio Growth:	20% increase
Total Portfolio Value:	₹65,000 crores
Tariff Revision:	3% p.a. + 40% WPI

Strategic Infrastructure Development

This concession agreement execution reinforces IRB Infrastructure Trust's position as a major player in India's highway infrastructure sector. The TOT-17 project provides the trust with operational control over critical highway assets in Uttar Pradesh, one of India's most economically significant states. The toll-operate-transfer model ensures long-term revenue generation through toll collections while maintaining and operating these strategic highway corridors.