Kalpataru Projects International has successfully completed the sale of its entire equity stake in Vindhyachal Expressway Private Limited to growth market sustainable infrastructure investor Actis. The transaction, which was finalized on January 16, 2026, at 07:10 p.m. (IST), represents a significant milestone in the company's strategic divestment program.

Transaction Completion Details

The infrastructure development company has completed the divestment of its 100% equity stake in its wholly owned subsidiary at an enterprise value of approximately Rs. 775.00 crores, subject to necessary closing adjustments. The completion was formally disclosed through regulatory filings under Regulation 30 of SEBI LODR Regulations.

Project Overview

Vindhyachal Expressway Private Limited operates as a Special Purpose Vehicle undertaking a four-laning road project spanning 89.30 kilometers. The project connects the main city of Rewa and Hanumana on the border of Madhya Pradesh and Uttar Pradesh along national highway section NH-7.

Financial Impact

According to the regulatory disclosure, VEPL contributed approximately Rs. 85.07 crores in revenue, representing about 0.43% of consolidated revenue. The subsidiary had a net worth of approximately Rs. 144.55 crores as of March 31, 2024, constituting around 2.81% of the company's consolidated net worth.

Management Commentary

Manish Mohnot, MD & CEO of KPIL, described the completion as "a landmark event for KPIL." He emphasized that the strategic divestment of transmission assets and the current VEPL sale demonstrates the company's track record in developing, operating and successfully divesting long-term infrastructure assets. The divestments align with KPIL's strategy of optimizing value through disposal of non-core assets while continuing investment in core EPC business to accelerate growth and achieve targeted return ratios.

Advisory Teams

The transaction was supported by specialized advisory teams, with Equirus Capital Private Limited serving as Transaction Advisor and Khaitan & Co as Legal Advisors to KPIL. Anangram Partners provided legal advisory services to Actis for the deal completion.

Kalpataru Projects International Limited (KPIL) has announced securing new orders and notification of awards worth approximately ₹719.00 crores. The leading EPC player in power transmission and distribution (T&D) and civil infrastructure sector achieved this milestone along with its joint venture partners, leading to positive market response with shares gaining 1%.

Stock Performance and Market Response

Shares of Kalpataru Projects International gained on Thursday following the order announcement, trading 1% higher at ₹1,213.00. Despite the recent positive momentum, the stock remains down 8% over the last 12 months, reflecting broader market challenges in the infrastructure sector.

Major Order Details

The significant order win includes an elevated metro rail project in Thane, Maharashtra, marking a strategic expansion in the company's urban infrastructure portfolio. The company secured these orders through its joint venture partnership, though the specific share allocation has not been disclosed.

Management Commentary

Manish Mohnot, MD & CEO of KPIL, expressed satisfaction with the new order acquisition, particularly highlighting its significance for the Urban Infrastructure business vertical. "The elevated metro rail order in Thane has strengthened our presence in the growing urban transportation EPC business, reinforcing our confidence in the growth potential of our Urban Infra business in India," Mohnot stated.

The management emphasized that their strong order intake, diversified order book, and robust execution capabilities position the company favorably to deliver on growth targets in the coming quarters.

Business Challenges and Strategic Focus

Despite the positive order wins, the company continues to navigate challenges in the water infrastructure segment. Projects linked to the Jal Jeevan Mission account for around 10% of the firm's total order book, with receivables above ₹1,000.00 crores due to payment delays.

Company director Amit Uplenchwar indicated that the firm's diverse business mix will help manage current challenges while maintaining focus on growth in the transmission and distribution (T&D) sector.

Company Profile and Strategic Positioning

KPIL operates as one of the largest specialized EPC companies with expertise across multiple sectors including Power Transmission & Distribution, Buildings & Factories, Water Supply & Irrigation, Railways, Oil & Gas Pipelines, Urban Mobility, Highways, and Airports. The company maintains an extensive global presence, currently executing projects in over 30 countries with a footprint spanning 75 countries worldwide.

The new order reinforces KPIL's leadership position in its major business segments, supported by strong organizational capabilities, superior technical expertise, and adherence to best-in-class sustainability standards.