The letter of acceptance, issued on 23 October 2026, earmarks ₹340.08 crore for a one‑year build‑operate‑transfer operation of the Palayam fee plaza on NH44. The first‑year fee collection is set at ₹105.08 crore, with a 10% escalation in year two, mirroring the structure of the earlier Gorakhpur Link Expressway deal.
HIL’s portfolio now sits at ₹555.74 crore in new contracts, after adding the ₹220.66 crore Gorakhpur agreement earlier this month and a ₹155 crore NHAI order for Gujarat fee plazas. These wins place the company in the upper echelon of India’s toll‑plaza operators, a sector that has seen a 12% YoY uptick in total contracts in 2026.
The company’s promoter group has no stake in the awarding entities, and the contracts are free of related‑party concerns, easing regulatory scrutiny. Analysts note the steady inflow of toll‑collection deals as a cushion against fluctuating freight volumes.
Looking ahead, HIL is slated to report its Q2 earnings on 15 November, with management hinting at a 5–7% revenue lift from the new contracts. The market is already pricing in a potential 8% upside for the stock if the firm can convert the agreements into timely cash flows.