Overview

• MSRDC has the right to collect toll on the Mumbai Pune Expressway till April 2030
• MSRDC’s 100% owned subsidiary, Mumbai Pune Expressway Limited, proposed to transfer Tolling and O&M rights of Project from August 10, 2019 to April 30, 2030
• SBICAPS assisted MSRDC in Bid Process by way of invitation of bids to engage a private operator on Toll Operate Transfer (TOT) basis

Deal Highlights

• Appointed by MSRDC for assistance in Transaction Advisory & Bid Process Management in 2019
• MSRDC had, prior to TOT Process, securitized the cashflows of Project for Rs 65 Bn. 
• Payment of Concession Fee from proposed TOT was structured with a minimum upfront payment of Rs. 65 Bn and 3 deferred payments payable each at 1st (Min Rs 8.5 Bn), 2nd (Min Rs 8.5 Bn), and 3rd anniversaries (unspecified) of the Commencement Date.
• The selection of successful bidder was based on the highest quoted NPV of payments
• In 2nd call for bids, it was awarded to IRB MP Expressway Limited, a subsidiary of IRB Infrastructure Developers Ltd with total Sub-Concession Fee of Rs 82.62 Bn. 
• The bid amount of Rs 403 Mn/km for transaction is the highest per-km revenue realization for Indian road sector, completed at the time when a competing transaction of NHAI TOT-III was in market