Advertisement
IL&FS has completed the transfer of shares of its key road asset, Chenani-Nashri Tunnelway Limited, to Cube Highways & Infrastructure for INR 6,145 crore. The deal includes settling around INR 5,454 crore of debt with a consortium of banks and financial institutions. CNTL has ceased to be an IL&FS subsidiary, and Cube's nominees have joined the Board. This transaction increases IL&FS Group's total debt repayment beyond INR 48,000 crore. The Chenani-Nashri Tunnel, operational since 2017, remains a critical all-weather route linking Jammu and Srinagar.
Debt-laden Infrastructure Leasing & Financial Services (IL&FS) has transferred the shares of its subsidiary Chenani-Nashri Tunnelway Limited (CNTL) to Cube Highways & Infrastructure for a total consideration of INR 6,145 crore. The payment includes settlement of approximately INR 5,454 crore of debt owed to a consortium of public and private sector banks, financial institutions, and corporates. Advertisement
With the share transfer now completed, CNTL no longer remains a subsidiary of ITNL, an IL&FS Group company. Following this, the Nominee Directors of CNTL resigned, and Cube Highways appointed its nominees to the Board. Payments to lenders and the formal completion of the sale are expected in the coming days.
Key lenders involved in the transaction include State Bank of India, Canara Bank, Deutsche Bank, Indian Bank, Jammu and Kashmir Bank, Federal Bank, Indian Overseas Bank, Syndicate Bank, and UCO Bank. The deal concluded after a series of approvals, including the execution of the Share Purchase Agreement (SPA), clearance from the Committee of Creditors led by Justice (Retd) D K Jain, NCLT, NHAI, and the respective Boards.
IL&FS highlighted that with this transaction, the total debt discharged by the Group has now crossed INR 48,000 crore, up from over INR 45,000 crore reported earlier this year. CNTL, a subsidiary of ITNL, holds critical road assets under IL&FS both domestically and internationally.
The Shyama Prasad Mookerjee Road Tunnel, also known as the Chenani?Nashri Tunnel, is a fully operational road tunnel providing an all-weather connectivity link between Jammu and Srinagar. The tunnel has significantly reduced travel time by over two hours and has been operational since 2017 under an annuity-based concession with the National Highways Authority of India (NHAI), valid until March 2032.
Source PTI
5th Jun, 2025
25th May, 2023
11th May, 2023
27th Apr, 2023
Advertisement
Facebook
Whatsapp
