Synopsis: An infrastructure firm’s SPV seals a concession deal with NHAI for a 10.3-km, six-lane highway project in Punjab under the Hybrid Annuity Mode.
India’s highway construction space witnessed another milestone as a mid-cap infrastructure company formalised a significant concession agreement with the National Highways Authority of India. The development marks a step forward in the country’s road infrastructure expansion, with the project set to improve connectivity in a key northern corridor.
Shares of Ceigall India Limited, with a market capitalization of Rs. 6,370 crore, are trading at a price of Rs.370 i.e. 0.98% up from its previous closing price of Rs.366.4. It is trading at a P/E ratio of 20.66.
What the Agreement Covers
Ceigall India Limited informed the stock exchanges on June 10, 2026, that its project Special Purpose Vehicle – Ceigall Ambala Chandigarh Zirakpur Limited – has executed a Concession Agreement with the National Highways Authority of India. The agreement was signed on June 9, 2026, and follows the company’s earlier intimations to exchanges dated March 27 and April 23, 2026.
The project involves the construction of a six-lane access-controlled spur connectivity road starting from Ch. 15+100 of the Ambala-Chandigarh section of NH-205A, terminating at Ch. 2+500 of the Zirakpur Bypass, covering a total length of 10.300 km in the state of Punjab. The estimated project cost stands at ₹603 crore, excluding GST.
Project Mode and Timeline
The project is being executed under the Hybrid Annuity Mode (HAM), a public-private partnership structure commonly used in India’s highway sector where the government funds a portion of the project cost during construction and the developer recovers the balance through annuity payments. The construction period is 18 months, followed by a 15-year operation and maintenance period.
How the Company Has Been Performing
Ceigall India’s financials reflect strong momentum over the past year. On a consolidated basis, revenue grew from ₹3,437 crore in FY25 to ₹4,022 crore in FY26, a year-on-year increase of around 17%. Net profit rose from ₹287 crore in FY25 to ₹309 crore in FY26, while operating profit margin held steady at 15% in both years.
In Q4 FY26, revenue came in at ₹1,387 crore, up 37% from ₹1,012 crore in Q4 FY25. Operating profit jumped 75% to ₹224 crore from ₹128 crore, with margin expanding to 16% from 13%. Net profit rose 79% to ₹129 crore from ₹72 crore in the same quarter last year.
About Ceigall India Limited
Ceigall India Limited is a Ludhiana-based infrastructure company engaged in the construction of highways, expressways, bridges, flyovers, and tunnels. The company primarily executes projects for NHAI and state highway authorities across northern India.
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