RInfra in talks with Cube Highway to sell four road assets for ₹1,430 cr.

Reliance Infrastructure has initiated talks with Singapore-based Cube Highways to monetise four of its road assets and bring down debt by ₹1,430 crore. Cube Highways is promoted by I Squared Capital, a wholly-owned subsidiary of the Abu Dhabi Investment Authority, International Finance Corporation and a consortium of Japanese investors including Mitsubishi Corporation and Japan Overseas Infrastructure Investment Corporation for Transport. Reliance Infra will put four of its road assets — DS Toll Road, NK Toll Road, SU Toll Road in Tamil Nadu and JR Toll Road in Rajasthan — on the block. With a total length of 283 km, all four road assets are under operation with the balance available concession period of up to 12 years. Cube Highways has offered an enterprise value of ₹1,430 crore and the proceeds would result in the company’s debt reduction to that extent, sources said. In January, Reliance Infra sold its entire DA Toll Road (Delhi-Agra) to Cube Highways and Infrastructure III Pte Ltd for ₹3,600 crore. The deal was announced in March, 2019 with the signing of a definitive binding agreement between Reliance Infrastructure and Cube Highways and Infrastructure III Pte Ltd but was completed almost two years later. The entire sale proceeds was used for reducing debt by 20 per cent.