Reliance Infrastructure, which has bagged the Rs. 5,100-crore (Rs. 51 billion) Worli-Haji Ali sea link project, is currently in talks with ICICI Bank for a Rs. 2,000-crore (Rs. 20 billion) loan comprising $250 million of external commercial borrowings and the balance rupee loan.
The interest rate for the proposed loan would be 10 per cent. The company is expected to achieve a financial closure within next two months.
The project was awarded by Maharashtra State Road Development Corporation to the company in February 2010.
Of the Rs. 5,100 crore (Rs. 51 billion), Rs. 1,634 crore (Rs. 16.34 billion) is the one-time upfront payment to the state government to take over the existing Worli-Bandra sea link and construct the 7.2 km new sea link.
According to the concession agreement, R-Infra would have to build the new sea link in 42 months.
As reported, R-Infra received a major relief after the Maharashtra government, following its meeting held last week with
Minister of State for Environment and Forests Jairam Ramesh, made it clear the project was on.