PNC Receives NHAI Approval to Transfer Two More Road Assets to KKR-Backed HIT.

PNC Infratech has received in-principle approval from the National Highways Authority of India (NHAI) to transfer two additional road assets—PNC Bundelkhand Highways and PNC Khajuraho Highways—to Highways Infrastructure Trust (HIT), an InvIT backed by US-based private equity firm KKR, according to a regulatory filing.

The two assets, valued at over ₹133 crore, are part of a ₹9,000-crore deal between PNC Infratech and HIT. PNC has already secured change-in-control approvals for eight road assets from NHAI, with approvals for the final two expected by January 2025. Additionally, no-objection certificates (NOCs) have been obtained from nearly all lenders involved in the projects.

The deal, covering 12 road assets, is on track to close by March 31, 2025, with 85% of the transaction value expected to be finalized by the end of FY25. The remaining two assets are anticipated to be transferred by the first half of FY26.

At its annual general meeting on September 28, 2024, PNC Infratech approved the sale of its road assets to HIT at an enterprise value of ₹9,006 crore. The company is currently completing conditions precedents (CPs), including obtaining final approvals from authorities and lenders, to conclude the transaction.

The transfer marks a significant milestone for PNC Infratech as it advances towards divesting its road assets and realigning its business strategy.

BS