Maharashtra State Road Development Corporation (MSRDC) has given the Versova-Bandra Sea Link project contract to Anil Ambani's Reliance Infrastructure. The project is estimated to cost Rs 7,000 crore. At 17.17 km, the Versova-Bandra sea link will be three times longer than the Bandra-Worli sea link.
The sea link project is expected to be completed within five years from the appointed date of 24 June 2019. The completion of the project will reduce travel time by about 80 minutes on this stretch.
RInfra has completed many projects such as the Mumbai Metro, Rajkot Greenfield Airport at Hirasar and the Delhi Airport Metro Express.
Along with the National Highway Authority of India (NHAI), the company has been implementing big ticket road projects in the country. It has received about eleven contracts to build roads under the NHDP Phase-V. These contracts involve constructing about 1,000 km of highway and expressway projects on Build–Operate–Transfer scheme of funding worth Rs120 billion.
The Anil Ambani-led company has also completed the bridge project of Worli-Haji Ali Sea Link in collaboration with Hyundai Engineering.
Reliance Infrastructure's rating was downgraded to 'D- Issuer Not Cooperating' by the rating agency, India Ratings last week. The downgrade in the ratings was in a view of the instability of Anil Ambani-led company. The company's auditors have raised significant doubts about the ability of the company to go further with the burden of debt.
The company has seen a significant fall in its profits from 2017-2019. The company reported a profit of Rs 1255.50 crore in 2017-18 but was in heavy loss of about Rs 2426.82 crore in 2018-19.
The shares of Reliance Infrastructure are saw a spike of about 10 percent on BSE after the the contract was awarded.
