Shares of KNR Constructions Limited jumped over 8 % in the stock market after the company announced a major asset monetisation transaction involving the sale of four road special purpose vehicles to Indus Infra Trust.
KNR Constructions disclosed that it has executed Share Purchase Agreements dated December 24, 2025, with Indus Infra Trust for the proposed sale of its entire 100 % shareholding, including subordinate debt, in four SPVs namely KNR Palani Infra Private Limited, KNR Ramagiri Infra Private Limited, KNR Guruvayur Infra Private Limited and KNR Ramanattukara Infra Private Limited. Following completion, KNR Constructions will fully exit these assets, subject to transfer restrictions under the concession agreements signed with the National Highways Authority of India and the receipt of necessary regulatory and lender approvals.
As part of the transaction, KNR Constructions is expected to receive a total amount of ₹1,543.19 crore. This includes ₹1,398.65 crore as sale consideration and an estimated ₹144.54 crore towards cash surplus, which will be upstreamed to the company in an agreed manner. Against this, the company has invested ₹566.83 crore in these SPVs through equity and sub-debt. KNR Constructions noted that the final consideration may change slightly at the time of transaction closure due to certain agreed variable parameters under the respective agreements.
The four SPVs together made a meaningful contribution to KNR Constructions’ consolidated financials during the last financial year. As of March 31, 2025, KNR Palani Infra reported a turnover of ₹96.55 crore, contributing 2.03 % to consolidated turnover, while KNR Ramagiri Infra recorded ₹344.64 crore, accounting for 7.25 %. KNR Guruvayur Infra generated ₹429.91 crore, contributing 9.04 %, and KNR Ramanattukara Infra posted the highest turnover of ₹511.74 crore, representing 10.77 % of consolidated turnover.
In terms of net worth as on March 31, 2025, KNR Palani Infra stood at ₹197.71 crore, contributing 4.36 % to consolidated net worth. KNR Ramagiri Infra reported a net worth of ₹119.22 crore or 2.63 %, KNR Guruvayur Infra stood at ₹277.59 crore or 6.11 %, while KNR Ramanattukara Infra reported ₹284.59 crore, contributing 6.27 %.
The company stated that the divestment will be completed after securing approvals from the concerned authorities and lenders, in line with concession agreement provisions, and is expected to close on or before September 30, 2026. KNR Constructions also clarified that Indus Infra Trust is not part of its promoter or promoter group and that the transaction does not qualify as a related party transaction.
