Vinci Construction
Foreign players in the infrastructure building space are showing greater interest in the Indian road sector with the France based Vinci Construction is currently negotiating with at least one infrastructure firm to acquire its concession. The player is currently looking at acquiring the concessions of those developers who are planning to exit. With the presence in the engineering, procurement and construction space in India since 2010 through its subsidiary. The firm expand its portfolio, Head Vinci Concessions India Private Limited, Thomas Bigueure said. Market watchers appeared optimistic on the development as this comes at a time when Indian infrastructure developers, who had earlier bid aggressively for securing road contracts, are now claiming declining viability of highway projects. The France based construction and concession firm which operates 5,500km of roads in France, with interests in roads, highways, stadiums and airports is bidding for Indian highway projects in equal partnership with HCC, but unfortunately has been unable to secure any big ticket project so far.

The Indian head of the firm said adding that there is nothing wrong with the projects as the company has the appetite. It is a good opportunity to find the right projects. The distressed infrastructure developers hit by a funding crunch and high borrowing costs in the face of slowing economic growth, and delays in securing mandatory government approvals have sought easier payment terms. However, this effort has been rejected by India's law ministry recently when it turned down a proposal by the ministry of road transport and highways for restructuring premium payments. This also comes in the backdrop of NHAI's inability to meet the target to build 9,500km of roads set by the ministry of road transport and highways and its own internal target of 3,000km last fiscal. In this fiscal year ending 31 March, the government awarded only around 1,000km of road construction projects, which is about one-tenth of its target of 9,500km.