IRB Infrastructure Developers Ltd. has approved the sale of its entire stake in VM7 Expressway Private Limited to IRB InvIT Fund for ₹5,130 million, with additional project management fees. The transaction is set to close by February 2026 and is not a related party deal, supporting IRB’s capital recycling strategy and portfolio expansion.
IRB Infrastructure Developers Ltd. has announced the sale of its entire stake in VM7 Expressway Private Limited to the IRB InvIT Fund, marking a strategic move to unlock capital for future growth. The transaction, approved by the board on December 1, 2025, includes the prepayment of senior debt and repayment of subordinate and unsecured loans, with a total consideration of ₹5,130 million. IRB will also act as the project manager for the VM7 project for up to 15 years, receiving an aggregate fixed consideration of ₹2,445.7 million.
IRB Infrastructure Developers Ltd. has entered into a share purchase agreement with the IRB InvIT Fund for the transfer of 100% equity shares of VM7 Expressway Private Limited. The VM7 project is an eight-lane access-controlled expressway from Gandeva to Ena in Gujarat, developed under the Hybrid Annuity Mode as part of the Bharatmala Pariyojana. The sale is subject to regulatory and third-party approvals, with the expected completion date set for February 28, 2026.
Notable Updates
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The VM7 Expressway contributed ₹4,117.41 million (5.41%) to IRB’s consolidated turnover and ₹2,825.78 million (1.43%) to its net worth in FY2024-25.
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The transaction is not classified as a related party deal under SEBI regulations, ensuring transparency and fairness.
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IRB InvIT Fund is a publicly offered and listed infrastructure investment trust, independent of the promoter group.
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IRB will manage the VM7 project for the next 15 years, earning a fixed management fee.
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The deal aligns with IRB’s Bid-Execute-Stabilize-Transfer (B.E.S.T.) strategy to recycle capital and drive future growth.
Source: NSE Circular, IRB Infrastructure Developers Ltd. official announcement