MBL Infrastructures has finalized Welspun Enterprises as a sponsorer, subject to necessary approvals, for funding by way of equity infusion and debt for its two NHAI Hybrid Annuity Model (HAM) Projects.

The first project is for four laning of Chhutmalpur-Ganeshpur in the State of Uttar Pradesh and Uttarkhand being executed by MBL (CGRC) Road, SPV of the company and the second project is for four laning of Gagalheri- Saharanpur- Yamunanagar in the state of Uttar Pradesh being executed by MBL (GSY) Road, SPV of the company.

The financial closure for the aforesaid projects will be achieved by July 31, 2017. The performance guarantee aggregating to Rs 1.06 billion for the aforesaid projects provided by the company would be released by NHAI on completion of the necessary formalities and Rs 230 million will be received by the subsidiary companies as consideration for transfer of 49% and Rs 245.0 million on exercise of option to buy balance 51% by Welspun Enterprises.

Shares of the company gained Rs 1.35, or 4.88%, to trade at Rs 29.00. The total volume of shares traded was 915,847 at the BSE (1.32 p.m., Wednesday).