Ashoka Buildcon Ltd, a leading player in India’s infrastructure sector, has acquired a partial stake in its subsidiary, Ashoka Concessions Limited (ACL), for ₹882.25 crore. The acquisition covers 44,57,848 Class A CCDs at ₹1,007.15 each and 1,15,17,129 Class B CCDs at ₹10 each, purchased from Macquarie SBI Infrastructure Investments Pte Limited and SBI Macquarie Infrastructure Trust.
This move is part of a broader agreement to facilitate a full exit for these investors from ACL and Jaora-Nayagaon Toll Road Company (JTCL), consolidating Ashoka Buildcon’s operational control over its subsidiaries.
Key Details of the Acquisition
- Acquired Entity: Ashoka Concessions Limited (ACL)
- Transaction Value: ₹882.25 crore
- Securities Acquired: 44,57,848 Class A CCDs @ ₹1,007.15; 1,15,17,129 Class B CCDs @ ₹10
- Sellers: Macquarie SBI Infrastructure Investments Pte Ltd & SBI Macquarie Infrastructure Trust
- Transaction Type: Partial acquisition of investor-held CCDs
The long-stop date for completing the acquisition has been extended to October 31, 2025, allowing time for the monetization of project assets and acquisition of remaining CCDs.
Strategic Significance
- Consolidation of Holdings: Strengthens Ashoka Buildcon’s stake in ACL, enhancing operational control and decision-making efficiency.
- Infrastructure Focus: Aligns with the company’s strategic priority in road and power sector development.
- Future Growth: Improves ACL’s ability to bid for new infrastructure projects, potentially expanding its portfolio.
Financial Context
ACL has demonstrated steady financial growth over the past three years:
| Fiscal Year | Total Income (₹ Cr) | Net Worth (₹ Cr) |
| FY 2024-25 | 151.16 | 990.70 |
| FY 2023-24 | 148.26 | 944.54 |
| FY 2022-23 | 137.80 | 930.73 |
The acquisition consolidates ACL’s financial and operational value into Ashoka Buildcon’s portfolio.
Summary
Ashoka Buildcon’s ₹882 crore stake acquisition in ACL is a strategic move to consolidate holdings, enhance operational control, and strengthen its position in India’s road infrastructure sector. With the phased acquisition approach and extension of the transaction timeline, the company is poised to fully integrate ACL, boost project bidding capacity, and contribute to the growth of the nation’s infrastructure landscape.
Disclaimer:
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