HG Infra removes ₹4,142 crore MSRDC EPC projects from order book pending MSRDC clarity

Infrastructure development company HG Infra Engineering Ltd on Wednesday (May 20) said it has decided not to consider two Maharashtra State Road Development Corporation (MSRDC) projects as part of its executable order book, citing uncertainty over execution and the absence of communication from the authority.The update relates to disclosures made on May 21, 2024, when the company was declared an L1 bidder for two EPC packages under the Nagpur–Chandrapur Access Controlled Super Communication Expressway project in Maharashtra.

The first package covers construction from Chargaon (Bhadravati taluka) to Nandgaon Kh (Korpana taluka, Chandrapur district), with a length of 28.20 km. The estimated project cost is ₹1,554.45 crore, while HG Infra’s bid project cost is ₹1,991.11 crore.Also Read: HG Infra wins ₹3,931-cr highway project from Welspun Enterprises in MaharashtraThe second package spans from Nandgaon Kh (Korpana taluka) to Jogapur (Ballarpur taluka, Chandrapur district), covering 31.75 km. The estimated project cost is ₹1,654.92 crore, and HG Infra’s bid project cost is ₹2,151.11 crore.

The company said the bank guarantees submitted as bid security for the projects were returned by MSRDC without any reasons being communicated. Following this, HG Infra sought clarification on the status of the projects and reasons for the return of the bank guarantees, but no formal response has been received from MSRDC to date.

HG Infra stated that, considering these developments, it has decided as a matter of prudence not to include the projects in its executable order book until further clarity is received. The company added that it will keep stock exchanges informed of any material developments as required under applicable law.

Also Read: Afcons, HG Infra shares jump up to 8% in response to ₹11,000 crore order wins

Shares of HG Infra Engineering Ltd ended at ₹592.00, down by ₹6.85, or 1.14%, on the BSE.