HCC closes concession stake sale

HCC has finalised the sale of a 14.5% stake in its concessions business, HCC Concessions, to The Xander Group, an investment company. The deal was valued at INR 240 crores (US$ 50 million), valuing HCC's Concessions business at US$ 345 million.

HCC Concessions builds, finances and operates transport infrastructure. Its portfolio comprises projects valued at INR 5500 crore (US$ 1.12 billion) and includes six national Highway Authority of India (NHAI) concessions - one annuity project and five toll roads.

HCC chairman and managing director Ajit Gulabchand said, "The Indian Government has enhanced the pace of development of world class infrastructure for India through Public Private Partnerships and HCC has chosen Xander, an investment group in which we find a wealth of expertise and commitment to complement our business goals. The deal reinforces faith in our robust asset portfolio and growth potential for our concessions business."

Arthur Segel, chairman of the Xander Group said, "As India continues to grow it will need more world-class infrastructure, built by world-class companies. HCC is one such company and we believe its skills will help propel the country further into the 21^st century. We are delighted to participate in the growth of its infrastructure business."