Ashoka Buildcon Limited has announced that the National Highways Authority of India (NHAI) has canceled its bid for the ₹2,800 crore Kharagpur Economic Corridor Project due to administrative reasons. Despite this setback, the company remains eligible for re-bidding under fresh notices issued by NHAI.
Project Details:
- Project 1: Development of a 4-lane Economic Corridor from Kharagpur to Chandrakona-Ghatal Road Crossing (Package-I) of NH 116A in West Bengal.
- Status: Bid canceled by NHAI for administrative reasons.
- Reason: Ashoka Buildcon was the only bidder for this project.
- Project 2: Development of a 4-lane Economic Corridor from Bowaichandi to Guskar-Katwa Road Section (Package-3) of NH 116A in West Bengal.
- Status: Received Letter of Award on November 25, 2024.
Key Highlights:
- Administrative Cancellation: NHAI has cited administrative reasons for canceling Project 1 and has issued a fresh re-bid notice. Ashoka Buildcon is eligible to participate in the re-bidding process.
- No Impact on Project 2: The award for Project 2 remains valid and is not affected by the cancellation.
Company Statement:
Ashoka Buildcon has disclosed that it was the sole bidder for Project 1, which may have influenced the administrative decision. The company remains confident of its eligibility and intends to re-bid for the project.
Market Impact:
While the cancellation might cause short-term uncertainty, the opportunity for re-bidding offers a chance for Ashoka Buildcon to secure the project again. The retained Letter of Award for Project 2 also ensures continued momentum for the company’s operations.
