Reliance Infrastructure recently made a stunning announcement that it has won the order to build ₹7,000 crore Versova-Bandra Sea Link project contract from Maharashtra State Road Development Corporation (MSRDC) in Mumbai.
Versova-Bandra Sea Link is a Mega infrastructure project with a length of 17.17 km, which is three times the length of the Bandra-Worli Sea Link of 5.6 km. Reliance Infrastructure is all set and fully equipped to deliver the project in next five years probably means 60 months from the appointed date of 24 June 2019 as per the contract, Reliance Infrastructure said in a Bombay Stock Exchange filing.
The project – to be developed by RInfra in partnership with Italy’s Astaldi S.p.A. – was awarded on June 24, 2019 and shall be commissioned within the next five years.
The company said Versova-Bandra Sea Link would cut down commute time drastically of Mumbaikars from over 90 minutes to 10 minutes which will also result in huge savings in fuel and eco-friendly travel along the city.
Last week, ratings agency India Ratings downgraded Reliance Infrastructure’s long-term issuer rating to ‘D – Issuer Not Cooperating’.
The downgrade came just a week after the Anil Ambani-led company’s auditors raised huge concerns of manipulating the balance sheets and also over its financial results as well as “significant doubt” over the group’s ability to function properly and ethically in future.
Reliance Infrastructure had reported a net loss of ₹3,301 crore for the quarter ended 31 March on a consolidated basis. The company had recorded a profit of ₹133.66 crore in the corresponding quarter of the previous financial year.
“This project will further propel RInfra as a premier engine ..
Punit Garg, ED and CEO, Reliance Infrastructure said, “This project will further propel Reliance Infrastructure as a premier E&C company in India. Our partnership with Astaldi S.p.A, the third biggest construction player in the world in bridges, will help us create a truly world class mega infrastructure project for Mumbai.”
On an yearly basis, it had incurred a loss of ₹2,426.82 crore for 2018-19. It had reported a profit of ₹1,255.50 crore in 2017-18.
Astaldi S.p.A, Reliance’s partner in the project is world’s third largest player in bridge construction, and is responsible for the construction of the Rs 45,500 crore Izmit Bay Bridge (Gebze-OrhangaziIzmir Motorway Project) in Turkey.