Infrastructure Order Win (HAM Project)

KNR Constructions Signs Concession Agreement for Telangana HAM Highway Project with NHAI

NSE

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BSE

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KNR Constructions Limited announced that its wholly owned subsidiary, KNR Manyamkonda Infra Private Limited, has signed a concession agreement with NHAI for a 4-laning highway HAM project in Telangana covering the Hyderabad–Panaji section of NH-167.

PRICE-SENSITIVE TRIGGER

Event: Signing of concession agreement with NHAI

Type: Infrastructure Order Win (HAM Project)

Impact: Positive

Immediate Effect: The agreement formalizes execution rights for the highway project and strengthens KNR Constructions’ order book and HAM portfolio in the road infrastructure sector.

Key Metrics:

Project Type: Hybrid Annuity Model (HAM)
Project Length: 80.01 km
Highway Section: Hyderabad – Panaji Section of NH-167
Implementation Entity: KNR Manyamkonda Infra Private Limited
Authority: National Highways Authority of India (NHAI)
Concession Agreement Date: May 11, 2026

Highlight:

Label: Highway Project Length
Value: 80.01 Km

What Happened ?

KNR Constructions Limited informed stock exchanges that its wholly owned subsidiary, KNR Manyamkonda Infra Private Limited, has signed a concession agreement with the National Highways Authority of India (NHAI).

The agreement relates to the construction of a 4-lane highway corridor on NH-167 under the Hybrid Annuity Model (HAM) in Telangana.

The project covers the Gudebellur to Mahabubnagar stretch of the Hyderabad–Panaji section and spans approximately 80.01 km.

The concession agreement was signed on May 11, 2026, following the earlier receipt of the Letter of Award (LOA) disclosed by the company on March 28, 2026.

key highlights

Telangana NH-167 HAM Highway Project:

KNR Manyamkonda Infra Private Limited is a wholly owned subsidiary of KNR Constructions Limited.
The subsidiary has signed a concession agreement with NHAI.
The project involves construction of a 4-lane highway corridor.
The project is located on NH-167 in Telangana.
The stretch runs from Gudebellur at Design Km 182+930 to Mahabubnagar at Design Km 262+940.
The total project length is 80.01 km.
The project falls under the Hybrid Annuity Model (HAM).
The concession agreement was executed on May 11, 2026.
The company had earlier received the Letter of Award (LOA) for the project on March 28, 2026.
The project strengthens KNR’s presence in national highway infrastructure development.

Note:

Execution of the concession agreement marks a key milestone that enables formal commencement and implementation of the HAM project.

Risk Analysis

Key Risks

Delays in land acquisition or statutory clearances may impact project timelines.
Cost escalation in raw materials and construction inputs may affect margins.
Execution delays could impact milestone payments under the HAM structure.
Adverse weather or logistical disruptions may slow construction progress.
Delayed receivables from authorities can impact working capital requirements.

Worst Case Scenario

Significant execution delays or cost overruns could pressure project profitability and impact return ratios from the HAM asset.

Risk Level: Medium

Company Commentary

KNR Constructions confirmed signing of the concession agreement through its wholly owned subsidiary KNR Manyamkonda Infra Private Limited.
The company stated that the agreement pertains to the 4-laning of NH-167 under the Hybrid Annuity Model.
KNR highlighted that the concession agreement was signed with NHAI on May 11, 2026.
The company referred to its earlier LOA disclosure dated March 28, 2026 regarding the project award.

Official Exchange Filing: KNR Construction Limited