Essel Highways Secures Goldman Sachs $85 Million Participation in Debenture Issuance

Chandigarh, August 12, 2016: Essel Highways Ltd ("Essel Highways"), a subsidiary of Essel Infraprojects Ltd. ("EIL") focused on construction, development and operations of national and state highways in India, has secured $85 million in the form of loan from Goldman Sachs (NYSE: GS), a leading global investment bank, tied to a larger $220 million debenture issuance. As new corporate milestones are achieved, the remaining balance of the debenture issuance is expected to be subscribed to by other financial institutions and investors. The funds will be used to finance new projects and strategic acquisitions.

Since its inception in 2007, Essel Highways has emerged as a leader in the Indian road infrastructure sector. Today, with assets valued at approximately $1.8 billion, the company has a road development portfolio of 14 projects, 10 of which are operational, equaling more than 4,500 lane kilometers across six states.

EIL CEO & Whole Time Director, Mr. Ashok Agarwal, said “These new funds will strengthen our ability to grow our road project portfolio and allow for additional strategic acquisitions. The subscription of our debentures from a global reputed institution like Goldman Sachs further strengthens our position and help us in our endeavor towards becoming the most valued infrastructure company in India.”

At 4.7 million kilometers, India has the second largest road network in the world. According to the Indian Brand Equity Foundation, today the national road network transports more than 60 per cent of all goods in the country and 85 per cent of India’s total passenger traffic.

According to the Road Transport and Highway Ministry in June 2016, highway and road building efforts in India have reached a record-breaking rate of approximately 28 kilometers per day in the last two years.

Previously in March, Essel Green Energy Pvt. Ltd. ("EGEPL"), the solar asset holding company of EIL, also secured financing of $132 million from Piramal Enterprises Limited and Dutch pension fund asset manager APG Asset Management for the development of solar assets in India.

For its innovative solutions, use of new technologies and excellence in projects, EIL has been widely recognized by a number prestigious industry bodies, including the Smart City Council of India, World Corporate Social Responsibility Congress, Golden Peacock Awards and Internet and Mobile Association of India.