Ceigall India Ltd has secured a significant contract from the National Highways Authority of India for the development of a six-lane greenfield southern Ludhiana bypass. The project, part of the Ludhiana-Ajmer Economic Corridor, is estimated to cost around $104 million.
The contract was awarded under the Hybrid Annuity Mode, highlighting Ceigall India’s persistence in securing large-scale infrastructure projects despite previous setbacks. Ceigall India Ltd., a prominent infrastructure engineering, procurement, and construction.
EPC company, has been awarded a significant contract by the National Highways Authority of India (NHAI) for the development of a six-lane greenfield southern Ludhiana bypass. This project is a crucial component of the Ludhiana-Ajmer Economic Corridor in Punjab.
Project Details
The project encompasses the construction of a 25.24-kilometer stretch, connecting National Highway 44 (NH44) near Rajgarh village to the Delhi-Katra Expressway (NE 5) near Ballowal village. Awarded under the Hybrid Annuity Model (HAM), the project’s estimated cost is ₹864.97 crore, with Ceigall India’s winning bid at ₹923 crore. The completion timeline is set at 24 months.
Re-award of the Project
This project was initially awarded to Ceigall India in June 2022 for ₹702 crore. However, it was subsequently revoked due to non-availability of the construction site. The project’s re-award at a higher bid reflects adjustments for inflation and other economic factors.
Ceigall India’s Strategic Position
Securing this contract aligns with Ceigall India’s strategic goal of expanding its project portfolio. The company aims to secure contracts totaling ₹5,000 crore by the end of the fiscal year 2025. With this latest contract, Ceigall India’s total contract value for the current financial year surpasses ₹4,600 crore.
Company Overview
Established in 2002, Ceigall India has evolved from a small construction firm into an established EPC player. The company specializes in various structural works, including elevated roads, flyovers, bridges, railway overbridges, tunnels, highways, expressways, and runways. Notable projects include the Kartarpur Sahib Corridor and the Malout-Abohar HAM project, both completed ahead of schedule.
Financial Performance
In the third quarter of the fiscal year 2025, Ceigall India reported a 19.5% increase in net sales, amounting to ₹830.54 crore. Despite this growth, the company’s consolidated net profit experienced a 7.5% decline compared to the same period in the previous fiscal year.
Hybrid Annuity Model (HAM)
The Hybrid Annuity Model is a public-private partnership (PPP) approach in India, combining features of the traditional EPC and Build-Operate-Transfer (BOT) models. Under HAM, the government bears The contract was awarded under the Hybrid Annuity Mode, highlighting.
Ceigall India’s persistence in securing large-scale infrastructure projects despite previous setbacks. Ceigall India Ltd., a prominent infrastructure engineering, procurement, and construction. 40% of the project cost during the construction phase, with the remaining 60% financed by the developer. This model aims to mitigate financial risks for private players while ensuring timely project execution.
Implications for Regional Infrastructure
The development of the southern Ludhiana bypass is anticipated to significantly enhance regional connectivity. By linking NH44 with the Delhi-Katra Expressway, the bypass will facilitate smoother traffic flow, reduce congestion in urban areas, and promote economic activities along the corridor.
This infrastructure development aligns with national objectives to improve transportation networks and bolster economic growth. Ceigall India’s acquisition of the ₹923 crore contract for the southern Ludhiana bypass underscores the company’s robust position in India’s infrastructure sector.
The project’s successful execution will not only strengthen Ceigall India’s portfolio but also contribute to the enhancement infrastructure, fostering economic development in the region. phase, This model aims to mitigate financial risks for private players while ensuring timely project execution.
Implications for Regional Infrastructure
Group Media Publication
Construction, Infrastructure and Mining
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