Ashoka Buildcon Limited (ASHOKA) Q4 FY23 Earnings Concall Transcript

Ashoka Buildcon Limited (NSE: ASHOKA) Q4 FY23 Earnings Concall dated May. 25, 2023

Corporate Participants:

Satish Parakh — Managing Director

Paresh Mehta — Chief Financial Officer

Analysts:

Vikram Suryavanshi — Analyst

Mohit Kumar — ICICI Securities — Analyst

Vasu Gupta — Green Portfolio Private Limited — Analyst

Nikhil Abhyankar — ICICI Securities — Analyst

Sanjeevkumar Damani — Synergistic Knowledge Development Consulting & Advisory — Analyst

Ria — Aequitas Investments — Analyst

Anupam Gupta — IIFL Securities — Analyst

Rikesh Parikh — Rockstud Capital LLP — Analyst

Anant Mundra — Mytemple Capital Advisors LLP — Analyst

Vasudev Ganatra — Nuvama Wealth — Analyst

Nikhil Kanodia — HDFC Securities Limited — Analyst

Vaibhav Shah — JM Financial Limited — Analyst

Saif Gujar — ICICI Prudential AMC — Analyst

Prem Khurana — Anand Rathi Shares — Analyst

Ash Shah — Elara Capital — Analyst

Bharanidhar Vijayakumar — Spark Institutional Equities Private Limited — Analyst

Akhilesh B — Individual Investor — Analyst

Hari Kumar — Individual Investor — Analyst

Presentation:

Operator

Ladies and gentlemen, good day and welcome to the Q4 FY23 Earnings Conference Call of Ashoka Buildcon Limited, hosted by PhillipCapital India Private Limited. This conference call may contain forward-looking statements about the Company which are based on the beliefs, opinions and expectations of the Company as on the date of this call. These statements are not the guarantees of future performance and involve risks and uncertainties that are difficult to predict.

As a reminder, all participant lines will be in the listen-only mode, and there will be an opportunity for you to ask questions after the presentation concludes. [Operator Instructions]. I now hand the conference over to Mr. Vikram Suryavanshi from PhillipCapital India Private Limited. Thank you and over to you sir.

Vikram Suryavanshi — Analyst

Good afternoon, Michelle. Thank you. Good afternoon and a very warm welcome to everyone. Thank you for being on the call of Ashoka Buildcon Limited. We’re happy to have the management with us here today for question-and-answer session with the investment community. The management is represented by Mr. Satish Parakh, Managing Director and Mr. Paresh Mehta, Chief Financial Officer.

Before we start with the question-and-answer session, we have some opening remarks from the management. Now, I will turn the call to Mr. Satish Parakh, for opening comments. Over to you, sir.

Satish D. Parakh — Managing Director

Thank you, Vikram. Good afternoon, everyone. I would like to extend a warm welcome to everyone on this earnings call for the fourth quarter and full-year ended 31st March, 2023. I have Mr. Paresh Mehta, our CFO and SGA, our Investor Relation partner along with me on the call. During the quarter gone by in March ’23, Company, along with the North Haven India Infrastructure Fund, an India-focused infrastructure fund managed by Morgan Stanley, Investment Management Private Limited has entered into a share purchase agreement with Mahanagar Gas Limited to sell its equity stake in its subsidiary, Unison Enviro Private Limited, UEPL, for a total consideration of INR531 crores for 100% stake.

The transaction is subject to satisfaction of some customary conditions including approval by petroleum and natural gas regulatory board and lenders of UEPL, and is expected to be completed by 31st March, 2024. Just to reiterate, the Company has 51% stake in Unison Enviro. Similarly the Company has earlier entered into a SPA with National Investment and Infrastructure Fund, NIIF, for sale of Jaora Nayagaon BOT toll project and Chennai ORR project. The Company continues to work toward achieving specific conditions precedent as per the respective SPAs.

Now, I’d like to touch upon the mutual termination of SSPA with Galaxy Investment II Private Limited, which is an affiliate of KKR. We have been in continuous discussion with Galaxy for achieving various CPs as per the SPA, although there has been unexpected delays. Based on our discussions with KKR, we have mutually reassessed the transaction and then agreed to terminate the SPA without any financial implication to either party.

I would like to highlight that we have reinitiated the divestment process, and are in discussion with various investors and parties. We are also divesting 11 HAM projects and discussions are at advanced stage. We will keep all of you addressed [Phonetic] on the progress of the same.

Today on this call, I would like to clarify regarding the debarment of Company and subsequent cancellation of EPC project on 7th March 2023. We received communication from MoRTH regarding the Company’s debarment for 45 days on 25th Jan. We have received LOA of the EPC, project worth INR2,161 crores. Subsequently the authority has announced [Phonetic] the bidding process and has invited a fair bid for the said project.

I would like to highlight that the debarment expired on 15th April, 2023 and Company is eligible to participate in all the bids being called by various authorities, including NHAI.

Coming to the order book status, as on 31st March 2023, order book stands at INR15,805 crores, and as on date it stands at INR18,090 crores, including projects awarded after 31st March 2023. In road construction, Company has bagged another award from Ministry of Transport and Bridges, Government of Bangladesh for the Project Improvement of Baraiyerhat-Heanko-Ramgarh, widening and reconstruction of existing pavement for an accepted contract value of $80 million.

In Power T&D infrastructure development, Company received notification of awards in the state of Maharashtra, from Maharashtra State Electricity and Distribution Company, MSEDCL. And in Bihar, from North as well as South Bihar Power Distribution Company Limited for development of distribution of infrastructure for an accepted Contract Value of INR2,285 crores and INR632 crores respectively.

In Railways, Company received Letter of Acceptance from Ministry of Railways, for an EPC Project in connection with Gwalior-Sheopurkalan GC Project from North Central Railway for accepted Contract Value of INR285 crores. Let me reiterate that the focus remains on building strong EPC business in segments of highways, railways, power T&D and buildings than hybrid annuity projects of NHAI.

Our balance order book as on 31st March 2023 is INR15,805 crores. The breakup of the order book for roads and railway project comprised of INR9,595 crores which is 61% of the total order book. Among the road project order book, HAM projects are to the tune of INR1,728 crores and EPC road projects are worth INR6,318 crores, and railway is around INR1,549 crores.

Power T&D & others account for around INR3,965 crores which is approximately 25% of the total order book. The total EPC building segment is INR2,221 crores, which is 14% of the total order book and EPC of CGD business compromises of balance INR25 [Phonetic] crores. This is all from my side. I would now request Mr. Paresh Mehta to present the financial performance of Q4 and full fiscal year 2023.

Thank you.

Paresh Mehta — Chief Financial Officer

Thank you very much, sir. Good afternoon to one and all present on this call. The result presentation and the press release for the quarter have been uploaded on the stock exchange and the Company’s website. You must have had an opportunity to go through the same. Here, let me introduce that SGA Growth Advisors have been appointed as our IR from this quarter onwards. So, they will be taking care of all the requirements of the investors, information as well as any guidance from the Company’s side. Of course, the Company also will be available at any time for information.

Now, I will present the financial results for the fourth quarter ended March 31, 2023. Starting with the standalone numbers, the total income for Q4 FY’23 stood at INR2,067.9 crores as compared to INR1,622.7 crores in the corresponding quarter last year, registering a growth of 27%. EBITDA for the quarter was INR174.4 crores with an EBITDA margin of 8.4%. EBITDA margins have been impacted mainly due to inflation pressures, high competitive bidding in some of the projects.

The profits before tax stands at INR108.7 crores, before accounting of exceptional gains of INR349.2 crores which is on account of reversal of impairments on its investments and loans in its subsidiaries including ACL. The reported PBT is INR457.8 [Phonetic] crores and PAT is INR434.8 crores. For the full fiscal year 2023, total revenue was INR6,478 crores, up by 35% year-on year. The EBITDA stood at INR639.4 crores with a margin of 9.9%. The profit before tax stands at INR424.1 crore, before accounting for exceptional gains as highlighted earlier.

If you recollect during FY22, we had recognized INR769.6 crores as exceptional expenses on account of impairment of investment loans in subsidiaries including ACL. Just to elaborate, during FY22, the exceptional expenses of INR769.6 crores pertaining to an impairment of our investment in ACL and measurement of our obligation towards invested in ACL. However, during for FY 23, we have reversed these impairments, on our investments in ACL and also reversed the obligation towards investment in ACL due to increase in value share of ACL mainly on account of increased cash flow in HAM projects [Indecipherable] to increase in interest receivables on annuity payments. Reported profit-after-tax for FY23 stood at INR671.3 crores.

Coming to the consolidated results. The total income of Q4 FY23 grew by 20% year-on year to INR2,478 crores as compared to INR2,057 crores in Q4 FY22. EBITDA stood at INR585.2 crores for Q4 FY’23, with a margin of 23.6%. Reported profit-after-tax is at INR34.2 crores in Q4 FY23.

For full fiscal year ‘2023 on consolidated basis, total income was INR8,235.1 crores up by 34% year-on-year. EBITDA stood at INR2,103.4 crores at a margin of 25.5%. Reported profit for tax stood at INR372.9 crores. During Q4 FY23, BOT division recorded a total collection of INR309.9 crores as against INR262.6 crores in Q4 FY22 and INR291.4 crores in Q3 FY23.

It may be noted here that the year-on-year growth on the five BOT projects which was — where we have signed an SPV with KKR, there the revenues have grown in the last year from [Indecipherable] crores to INR910 [Phonetic] crores with a 22% jump in revenue. So, the revenue growth has been robust in the past two years.

Coming to debt. The total consolidated debt as on 31st March 2023 stood at INR6,895 crores, of which project debt was INR5,819 crores, of which INR2,732 crores stand for the five BOT projects. NCD stood at INR200 crores at ACL level. The standalone debt is at INR876 crores, which comprises of INR134 crores of equipment loans and INR742 crores of working capital loans.

With this, we now open the floor for question-and-answers. Thank you.

Questions and Answers:

Operator

Thank you very much, sir. We will now begin the question-and-answer session. [Operator Instructions]. We have the first question from the line of Mohit Kumar from ICICI Securities. Please go ahead.

Mohit Kumar — ICICI Securities — Analyst

Good afternoon, sir, and thanks for the opportunity. Sir, my first question is on the deal which fell through. Sir, why there was delays, is it due to NHAI or — and aren’t there any scope for renegotiation with the same buyer? And the related question is realistically, when do you think the new deal you will be able to close?

Satish D. Parakh — Managing Director

Hello?

Mohit Kumar — ICICI Securities — Analyst

Yes.

Satish D. Parakh — Managing Director

Yeah. See, this deal we have been negotiating and we had almost taken 15 months. Basically, the biggest project Dhankuni was a typical transition agreement where pre-COD condition was not envisioned or mentioned. We are final COD, and final COD happened very late because of the land acquisition issues in the project. And our contract agreement stated two years after final COD. Now we were trying with NHAI to get relaxation which they have given to HAM projects. But finally, we could not succeed in that, and there also timelines relapsed. So, in this the project completely got — the deal completely got cancelled.

As far as new deal, yes, we have already soft-launched, the process has started. We have good inquiry. And as Paresh has said, the revenues have also gone and last year we have seen around 22% average growth in the revenues. So we feel we will be able to close this in — in this year, financial year.

Mohit Kumar — ICICI Securities — Analyst

My second question is on this sir, of course, the execution-wise last year was decent, but EBITDA margins were below par. Of course we have asked this question again and again. But Q4 also there was no jump in EBITDA margin compared to Q3. So realistically, based on the current order book, what is the kind of EBITDA margin one should bake in? It should be 9% is a fair assumption based on the current order book?

Paresh Mehta — Chief Financial Officer

So, you’re right, what we discussed in Q3, the same situation will continue for another Q4 which is visible, and another two to three quarters, we believe Q4 margins will correct themselves to the normal margins which we used to declare in the previous years. So, there are certain contracts which will — of low-margin, which will get executed in this next three quarters, and most of it will get executed and completed then.

Mohit Kumar — ICICI Securities — Analyst

So we expect to get back to 10% [Phonetic] post…[Speech Overlap]

Paresh Mehta — Chief Financial Officer

Yeah.

Mohit Kumar — ICICI Securities — Analyst

Okay sir. My last question, sir, we are again state distribution projects. I understand these are the reformed development linked scheme. This is something where the working capital has been or has been an issue in past. Do you think under the new RDSS [Phonetic] scheme it is expected to be far better? Do you think the payment will be more regular? And have you got any comfort from the state DISCOMs about the payment?

Satish D. Parakh — Managing Director

Yeah. Earlier the 10% payment used to get locked for final completion and even after completion of defect liability, we used to get. Here we are going to get on part completions. So the payment terms are a little better than what we used to have earlier.

Mohit Kumar — ICICI Securities — Analyst

So, what is the kind of working capital do you think? Is six months — last time it was six to eight month was the regular, if I remember correctly.

Paresh Mehta — Chief Financial Officer

So here the working capital would be in the range of 3.0, 3.5 months, better than that, on an average collection point-of-view, though there’ll be a processes of payment on completion, but there’ll be part payment in between which will take care of the overall what kind of a life of the working capital for these projects.

Mohit Kumar — ICICI Securities — Analyst

Understood, sir. Thank you and best of luck sir. Thank you.

Operator

Thank you. The next question is from the line of Vasu Gupta from Green Portfolio Private Limited. Please go-ahead.

Vasu Gupta — Green Portfolio Private Limited — Analyst

Hi. Thank you for the opportunity. Can you hear me?

Satish D. Parakh — Managing Director

Yes, yes.

Vasu Gupta — Green Portfolio Private Limited — Analyst

Yeah. My question is on the recent order win of INR2,284 crores from MSEDCL, just wanted to know that management view on the counterparty risk in it, since MSEDCL in financial distress and is not able to pay it dues to power generators.

Satish D. Parakh — Managing Director

Yeah. These are 100% funded by PFC. They have a 60% grant and 40% loan being given for this project from PFC.

Vasu Gupta — Green Portfolio Private Limited — Analyst

So you don’t see any risk?

Satish D. Parakh — Managing Director

[Speech Overlap] centrally funded. Yeah.

Vasu Gupta — Green Portfolio Private Limited — Analyst

Okay. So can you tell me what are the payment terms, any mobilization or advance received for the project?

Satish D. Parakh — Managing Director

Yeah. These have mobilization advance to the tune of 10%. We have not yet received, which we’ll get in maybe this month, or next month. And then, earlier they used to pay only 90% till the completion. Now, as you complete the section, you will get even for part completion, you’re going to get your 100% payment and only performance security is which will remain up to different [Indecipherable] period.

Vasu Gupta — Green Portfolio Private Limited — Analyst

Okay. My second question is on the investigation of the alleged bribery case. What do you — what are the views of the management on it?

Satish D. Parakh — Managing Director

So this is — still they have to — we have to yet to receive complete information on this, it is what it was in the last call.

Vasu Gupta — Green Portfolio Private Limited — Analyst

So the 45 days, debarment…[Speech Overlap]

Satish D. Parakh — Managing Director

The debarment period is over on 15th of April. Now, we are able to bid for all the projects.

Vasu Gupta — Green Portfolio Private Limited — Analyst

So the effect of it will no more be there?

Satish D. Parakh — Managing Director

Beg your pardon.

Vasu Gupta — Green Portfolio Private Limited — Analyst

The negative effect of the debarment will not be in the future?

Satish D. Parakh — Managing Director

No, there is no negative impact from the department or anybody.

Vasu Gupta — Green Portfolio Private Limited — Analyst

Okay, thank you. That’s all. That’s all from my side.

Operator

Thank you. The next question is from the line of Nikhil Abhyankar from ICICI Securities. Please go-ahead.

Nikhil Abhyankar — ICICI Securities — Analyst

Thanks for the opportunity, sir. Sir, so you said that we are looking to monetize around 11 operational assets that we have. So, what is the mode of monetization that we’re looking at?

Paresh Mehta — Chief Financial Officer

Excuse me, seven — we didn’t follow what was that seven?

Nikhil Abhyankar — ICICI Securities — Analyst

I said, we are looking to monetize our operational assets almost 11 operational assets we have…

Paresh Mehta — Chief Financial Officer

HAM projects?

Nikhil Abhyankar — ICICI Securities — Analyst

Yeah. So what is the mode of monetization that we are looking at?

Paresh Mehta — Chief Financial Officer

It will be a sale to property fund.

Nikhil Abhyankar — ICICI Securities — Analyst

Okay. And sir, why aren’t we looking at something like an InvIT or something?

Paresh Mehta — Chief Financial Officer

We believe that we would like to exit 100% and not be a invested party, because then you end-up holding more than at least 20%, 25% of the equity, continue to hold for another three years. So we believe that instead of being a sponsor for InvIT rather than sell it to a fund who intends to create and innovate and accordingly, we are negotiating for the pricing.

Nikhil Abhyankar — ICICI Securities — Analyst

Okay. Okay, sir. And sir, I understand you have mentioned earlier about the margins as well. So, should we consider that by FY’25 it will be coming back to double-digit margins?

Paresh Mehta — Chief Financial Officer

Yes.

Nikhil Abhyankar — ICICI Securities — Analyst

So around 10%, 11%?

Paresh Mehta — Chief Financial Officer

Yeah, 10% to 11% in the range of that definitely.

Nikhil Abhyankar — ICICI Securities — Analyst

Okay. And sir, what is the kind of order inflow guidance that you have for FY24, let’s say?

Paresh Mehta — Chief Financial Officer

So FY24, we’ll continue to bid for road projects definitely, and we’ll try to take-up road projects in the range of INR6,000 crores to INR8,000 crores for this year, partially in EPC business and partially in HAM projects. And the other sectors also we’ll continue to bid and try to take orders to the tune of in the Power approximately INR3,000 crores to INR4,000 crores and other businesses in the range of INR2,000 crores to INR3,000 crores.

Nikhil Abhyankar — ICICI Securities — Analyst

Sir, in Power you mentioned you — it will be linked to RDSS or will this be T&D as well?

Satish D. Parakh — Managing Director

Basically RDSS schemes which are centrally funded.

Nikhil Abhyankar — ICICI Securities — Analyst

Okay sure, sir,

Satish D. Parakh — Managing Director

We’re working in four sectors basically, roads, railways, building and power. So roads will be our focus area to bag maximum orders and HAM would be our preferred mode going ahead here.

Nikhil Abhyankar — ICICI Securities — Analyst

Okay sir. Thank you and all the best.

Operator

Thank you. The next question is from the line of Sanjeevkumar Damani from SKD consulting. Please go-ahead.

Sanjeevkumar Damani — Synergistic Knowledge Development Consulting & Advisory — Analyst

[Foreign Speech] sir, am I audible?

Paresh Mehta — Chief Financial Officer

Yes, you’re audible.

Sanjeevkumar Damani — Synergistic Knowledge Development Consulting & Advisory — Analyst

Thank you, sir. Sir my first question is regarding the fact that you had just now said that in next three — I mean, in three quarters of this year you will be completing the low-margin businesses pending orders. So sir, can I know the quantum that we are targeting to complete in the next three target of the old order? And can I also know the amount that of high margin business that we will execute in coming three quarters? I mean, current — three quarters of current year? Kindly, reply sir.

Paresh Mehta — Chief Financial Officer

Yeah. I probably don’t have that information in that kind of a format which you’re asking for. You could take it offline.

Sanjeevkumar Damani — Synergistic Knowledge Development Consulting & Advisory — Analyst

Okay. Sir, second thing is, that you know, our balance sheet is very heavily loaded, and there are lot of subsidiaries. I mean, is there any thinking of the management to reduce the subsidiaries and make it a single company for better understanding of the analyst community? Is there any such plan of reducing the subsidiaries in coming days?

Paresh Mehta — Chief Financial Officer

So our asset monetization plan is typically directed towards that. All these subsidiaries, which are below our holding co — Holdco subsidy that see in, this is what we intend to monetize. So there are 11 HAM projects under various SPVs, which are subsidiary of a subsidiary. Then there are six BOT projects, one big annuity project and the CGD business. So all these, we have already put it on the block for monetization. And we expect that within a year and so we should be able to clean up — monetize most of it.

Sanjeevkumar Damani — Synergistic Knowledge Development Consulting & Advisory — Analyst

Sir, my last question is regarding the fact [Phonetic] that the time we were negotiating to sell certain project to monetize those road projects or some other projects, now, the revenue from toll collection must have gone up. So do we see that we will be able to better realize the money from same asset now when we are negotiating?

Paresh Mehta — Chief Financial Officer

Definitely. That’s what the trend definitely shows. When we did the valuation in 2021, when we signed up a deal with KKR that time revenues and the growth rates were not looking as positive, but things have changed substantially for the last two years and definitely we see a better valuation stacking up for these BOT projects.

Sanjeevkumar Damani — Synergistic Knowledge Development Consulting & Advisory — Analyst

Sir, my salutation lastly, and all the regard for the kind of organization that you have created, and the kind of work that you are executing for the growth of the country, and I wish you all the best. Thank you.

Paresh Mehta — Chief Financial Officer

Thank you.

Satish D. Parakh — Managing Director

Thank you so much.

Operator

Thank you. The next question is from the line of Ria from Aequitas Investments. Please go-ahead.

Ria — Aequitas Investments — Analyst

Hello. Thank you for giving me the opportunity.

Operator

I’m sorry to interrupt, ma’am, your audio is not clear.

Ria — Aequitas Investments — Analyst

Hello?

Operator

Yeah, please continue.

Ria — Aequitas Investments — Analyst

Thank you for giving me an opportunity. My first question is in regard with the debt levels. So currently we are at around INR6,800 crores-odd at consolidated level. So what are the plans to reduce this? I understand the part of it — majority part of it is because of the projects. So how — what are our plans in the next coming two years, how do we plan to reduce the debt levels?

Paresh Mehta — Chief Financial Officer

So, as we — it’s a follow-on effect of the monetization of assets. Once we have the assets monetized almost INR6,000 crores of our debt will go off the consol balance sheet. And also, once we recognize or get the equity money into the company, the standalone debt also could be reduced substantially, so that the debt levels could be substantially low in a two-year — coming two years time.

Ria — Aequitas Investments — Analyst

I believe that the monetization would take — if the monetization is completed by the year-end, it would take more or some time to get consummated. So in FY24, it seems difficult to reduce the debt levels. And is it fair to assume?

Paresh Mehta — Chief Financial Officer

No, FY24 at least on the HAM projects, the Chennai ORR project and the Jaora Nayagaon and KKR. So the KKR five projects, which we had sold to them, they will come on the block too, and there is a good possibility that this could exchange hands, just to backup. The reason being that most of the process being done at NHAI level and at the NHDP [Phonetic] level were done for the previous deal. Now, since everything is ready for, we will be in a better position to crunch the timings. And if not, FY’24 definitely first-half of FY’25 we should see most of the assets the process over for monetization.

Ria — Aequitas Investments — Analyst

Okay, I understand. My second question is in regards with the order book, I understand, you said that our growth area would be roads and we are focusing on power as well. So I believe post-election the ordering for roads would see a little slowdown. So for the next year, how do you see, where do we see the demand coming from and what kind of pipeline, do you see? Pre and post-election?

Satish D. Parakh — Managing Director

The focus of road — for government pre or post election would remain same. That is what we understand, because there’s lot of work being done and there’s lot of focus on building good infrastructure. And railways would be another area which will catch-up. So these two are going to give major opportunities going ahead.

Ria — Aequitas Investments — Analyst

And what would be your guidance for order book for FY’24?

Satish D. Parakh — Managing Director

So we should have crossed INR20,000 crores next year, we should open at least INR20,000 crores plus. So we are having currently INR18,000 crores. We do work in this year. After deleting that, another fresh orders of around INR8,000 crores to INR10,000 crores, we should be add.

Ria — Aequitas Investments — Analyst

Right. And in terms of working capital, what changes or what activities are we doing to reduce the working capital time?

Paresh Mehta — Chief Financial Officer

So, in the — in the light of the growth in the top — execution, definitely working capital also will grow, requirement will grow. So that will so today — at today’s level approximately would continue with increased turnover of like we have increased from INR4,000 crores to INR6,000 crores in this year and then we expect to grow another at least 30% or 25% to 30% every year. So I think these levels of debt on the working capital side would be there for some time.

Ria — Aequitas Investments — Analyst

Okay. And what was your… [Speech Overlap]

Paresh Mehta — Chief Financial Officer

And subject to monetization of assets probably this would go down. That will be [Indecipherable]

Ria — Aequitas Investments — Analyst

What was your cost of funding, average cost of funding?

Paresh Mehta — Chief Financial Officer

So this would be in the range of weighted-average of around 9.0%, 9.25%.

Ria — Aequitas Investments — Analyst

9.25%. So going-forward, we assume that our interest cost would only increase going forward, is that the right assumption?

Paresh Mehta — Chief Financial Officer

No, so it should — it is already increased. You can see the FY’23 numbers, which will continue to remain same, because the volume and the interest — the interest rates, we expect to stabilize or probably move South. Volumes, if they continue, then I think so these interest-rate would — the interest amount would continue to be approximately same or slightly go down.

Ria — Aequitas Investments — Analyst

Okay. And we also had an order which I think the government had given it to us, but then we were not qualified. So it was again put to bid for. So right now, or why do — why did we have the disqualification in the first-place and how is — what is the current situation there? And do we have any projects from there?

Satish D. Parakh — Managing Director

See, we have explained — we were debarred for 45 days because of the Patna bribery case. There is an alleged allegation wherein our employees were implicated in that. So this 45 debarment period exactly came in between when this order was being — agreement was be being entered. But they had to debar us, it has gone for re-invitation of the bid, which we are eligible to bid now.

Ria — Aequitas Investments — Analyst

Okay, so we would be L1 there?

Satish D. Parakh — Managing Director

That is — that’s a fair competition will decide.

Ria — Aequitas Investments — Analyst

Okay. And in current pipeline, could you specify which all major projects are there?

Satish D. Parakh — Managing Director

So, currently NHAI is very aggressive in coming up with lot of expressways, and four to six lane projects. So we have a pipeline of around INR72,000 crores. So we have identified around INR30,000 crores we’ll be bidding in by the end of this quarter.

Ria — Aequitas Investments — Analyst

Okay. And in Power? Power and Railways?

Satish D. Parakh — Managing Director

Power and Railway continues. Opportunities are coming in. So railways is throwing around INR20,000 crores around. So we’ll be participating in various bids of Railways. Power is very unpredictable, like most of the states have bid before March. So maybe this quarter we may not see much power activity, but maybe next quarter onwards.

Ria — Aequitas Investments — Analyst

Okay. I think that’s it from my side, sir. Thank you so much for the detailed answers.

Operator

Thank you.

Satish D. Parakh — Managing Director

Thank you.

Operator

We have the next question from the line of Anupam Gupta from IIFL Securities. Please go-ahead.

Anupam Gupta — IIFL Securities — Analyst

Sir, a couple of questions from my side. Firstly, what is the equity commitment for FY ’24 and ’25 for the HAM projects?

Paresh Mehta — Chief Financial Officer

So for the HAM projects which are going to be executed last three or four HAM projects, which are going to be executed — last three or four HAM major projects are — which are pending for — to be funded for. For ’23, ’24, the amount would be INR113 crores. And for ’24, ’25, it would be INR56 crores. So totally INR169 crores, which will be required for HAM projects.

Anupam Gupta — IIFL Securities — Analyst

Okay. Understand. Sir, the second question is, of this INR15,800 crores of order book, what number would be under execution at this point of time? And what is the balance?

Paresh Mehta — Chief Financial Officer

So most of the projects are under execution, except for a few projects on the building vertical, which are — which have not taken off due to back-to-back funding by the employers. Otherwise, other all projects are — have — are in the execution stage.

Anupam Gupta — IIFL Securities — Analyst

So the building, if you can you quantify what number and which are the projects which are yet to start off?

Satish D. Parakh — Managing Director

So it is basically Maldives project, which is around INR1,100 crores. It yet to start. Otherwise, all other projects are absolutely on.

Anupam Gupta — IIFL Securities — Analyst

Okay. Okay. And one more question. Now this — the KKR deal is not happening. So what happens to the INR1,200 crore payout which we have to do to SBI Macquarie? Will that get linked to fresh bid — a fresh deal? Or do you go ahead paying that still?

Paresh Mehta — Chief Financial Officer

So the payment of INR1,200 crores is linked to monetization of assets. So any asset monetization only will give an opportunity for Macquarie to get its INR1,200 crores. So we are — both the partners are working towards monetization. Though the KKR deal has fallen off, we are still looking at alternative potential investors. And we believe that as soon as these monetizations happen in this next 12 months, we should be in a position to give them exit. Basically, there is no talk or intention of giving them an exit without monetization done.

Anupam Gupta — IIFL Securities — Analyst

Okay. Understand. And one last question. So the strong 22% toll revenue growth, which you have reported, is that — does it have some component of double sort of toll which, let’s say, because of Fastag not being there? Or this is the actual number which is there in terms of revenue?

Satish D. Parakh — Managing Director

These are actual numbers here.

Anupam Gupta — IIFL Securities — Analyst

Okay. But incrementally — so this year, obviously, you would have got high toll increase because of the inflation. But next year onwards, once the inflation normalizes, it should normalize, right? You don’t expect that to continue for the next year as well, FY ’25 I’m asking?

Paresh Mehta — Chief Financial Officer

Yes. So next year expectation for inflation is around — between the range of 5% to 7%. So keeping growth in the mind, I think so we should — it may not be 22%, it will be definitely on the — more than 11% to 12%.

Anupam Gupta — IIFL Securities — Analyst

For this year, for these five projects, what was the toll rate hike, broad number?

Paresh Mehta — Chief Financial Officer

Approximately for ’22, ’23, it was around 10.5% on the toll rate rise, the balance was — yes.

Anupam Gupta — IIFL Securities — Analyst

Okay. And just one last question. What is your revenue guidance for this year?

Paresh Mehta — Chief Financial Officer

So as we suggested, we would — based on the order book and new orders, we would target for a growth of 25% to 30%, we would try to see that.

Anupam Gupta — IIFL Securities — Analyst

Okay. Okay. Okay. Understood. That’s all from my side. Thank you.

Operator

Thank you. Mehta sir…

Satish D. Parakh — Managing Director

Your guidance would be 20% to 25%.

Anupam Gupta — IIFL Securities — Analyst

Okay.

Operator

Thank you, sir. Mehta sir, I would request you to mute your line, please. There is an airy disturbance on your line. Thank you, sir. The next question is from the line of Rikesh Parikh from Rockstud Capital LLP. Please go ahead.

Rikesh Parikh — Rockstud Capital LLP — Analyst

Yes. Thanks [Technical Issues]. Wanted to understand on the diversion front, whether this Chennai ORR and Jaora-Nayagaon will face the same kind of problem what we faced with the first thing?

Satish D. Parakh — Managing Director

See, all these projects are at advanced stage of getting approvals. So we hope we’ll be able to clear Chennai ORR by September, it should be through. And Jaora-Nayagaon will go up to December because Jaora-Nayagaon was the last SPA which was signed.

Rikesh Parikh — Rockstud Capital LLP — Analyst

No, see when the first [Indecipherable] suggesting by first quarter of this year, we will be able to go through. And we were not able to get the approvals from the NHAI. So just wanted to understand, do we have the same kind of concern over here in these two deals also?

Satish D. Parakh — Managing Director

See, contents are there because these are — we have to deal with states. Dealing with state is a little slow. The whole mechanism is very slow. So we are taking a little time, but we think we’ll go through all this.

Rikesh Parikh — Rockstud Capital LLP — Analyst

And as you just said, previously in the question, you suggested that the exit to Macquarie is dependent upon the deal getting close. So hypothetically assuming these two deals that were closed, so would it mean that we will have to make a payout of PPD component to them? Partial exit to them?

Paresh Mehta — Chief Financial Officer

Sorry. So whatever cash comes in, we would like to pay them off. And accordingly, I think — I mean that’s all it will happen. Chennai ORR and Jaora-Nayagaon give that much cash by December end, we will pay them off and — it stacks up to INR1,200 crores plus, so then we’ll pay them off.

Rikesh Parikh — Rockstud Capital LLP — Analyst

And last, does the deal change because there has been a delay in the repayment? So there was some concession being given at the time of INR1,200 crores coming up to the figure, so does the terms change by any chance?

Paresh Mehta — Chief Financial Officer

I didn’t follow, what was that?

Rikesh Parikh — Rockstud Capital LLP — Analyst

Make sense that revised IRR makes up between the Macquarie, the deal at INR1,200 crores. So does the same amount presents to or we have to pay more with — since there’s the lapse of time?

Paresh Mehta — Chief Financial Officer

So the understanding was that they would get — so if we get a carry on the monetization of assets, we will pass part of it to them. So they will get some kind of an additional amount based on whatever we get. So typically, it would be in the range of 8% around.

Rikesh Parikh — Rockstud Capital LLP — Analyst

Okay. Thanks. That’s it from me.

Operator

Thank you. The next question is from the line of Anant Mundra from Mytemple Capital Advisors LLP. Please go ahead.

Anant Mundra — Mytemple Capital Advisors LLP — Analyst

Yes. Good afternoon, sir. Thank you for the opportunity. So my question is around the exit that we are obligated to give to SBI Macquarie. So initially, before we had closed the deal, I think the amount was more than INR1,500 crores, the deal with KKR. Then it was renegotiated to INR1,200 crores. Now that the deal is off, I just want to be sure that the number still remains INR1,200 crores, right? There’s no scope for renegotiation here. Is that assumption correct?

Paresh Mehta — Chief Financial Officer

No. So as I said, explained just now, it would be INR1,200 crores plus any carry. The understanding then also was the INR1,200 crores plus any carry which we get from monetization would be passed to them based on their INR1,200 crores investment. So that kind of understanding has been reached at say, approximately 8%, which will be paid to them based on what we get from the modernization process.

Anant Mundra — Mytemple Capital Advisors LLP — Analyst

From the monetization of only the BOT assets, whatever carry we get or any kind of monetization?

Paresh Mehta — Chief Financial Officer

BOT or HAM, yes, it’s the ACL bucket.

Anant Mundra — Mytemple Capital Advisors LLP — Analyst

Okay. So that’s an 8% basically carrying cost on whatever…

Paresh Mehta — Chief Financial Officer

Would be, in the range of that, yes.

Anant Mundra — Mytemple Capital Advisors LLP — Analyst

Okay, okay. And sir, my next question is with respect to the NHAI premium and NHAI deferred payment liability on the five BOT assets. Can I have that figure, please?

Paresh Mehta — Chief Financial Officer

Didn’t follow, what is that?

Anant Mundra — Mytemple Capital Advisors LLP — Analyst

NHAI premium. On the liability side, there’s a NHAI premium and an NHAI deferred payment liability on the five BOT assets when we see their balance sheet. How much would that figure be at the end of March ’23 for these five projects?

Paresh Mehta — Chief Financial Officer

So there is only two major projects where deferment premium has happened. One is the Dankuni project and Belgaum project. I think the total deferred premium there is in the range of approximately INR700-odd crores. I’ll come back to you off-line on the exact amount.

Anant Mundra — Mytemple Capital Advisors LLP — Analyst

And sir, do you — because there has been a very good jump up in toll revenues in March ’23 for these five assets, do we expect to continue providing funding support to these five BOT projects? Or now all of them will be self-sufficient?

Paresh Mehta — Chief Financial Officer

No, except for Sambalpur, all others are self-sufficient. Sambalpur will still need support, though, they have got — they already have, what you call, high recommendation for increase in concession period by six years, which will take care of the project’s IRR. But in the short term, they will require cash still. Other projects could be self-sufficient.

Anant Mundra — Mytemple Capital Advisors LLP — Analyst

And sir, my final question is on two subsidiaries, namely the Viva Highways and Viva Infrastructure. They are holding a lot of land bank, right? So are there any — I mean is there some plans to monetize this or some kind of development that we plan to do ourselves on these land assets that are there in these two subsidiaries?

Paresh Mehta — Chief Financial Officer

So we are looking at opportunities. Wherever it is possible, we would like to do that, but at the right opportune time, we’ll definitely monetize that, preferably through direct sale or a joint development process.

Anant Mundra — Mytemple Capital Advisors LLP — Analyst

And sir, these lands are majorly in Nasik, which geography are they in?

Paresh Mehta — Chief Financial Officer

They would be at Nasik, Pune and maybe in MP on the highway at Indore — Edlabad, which we owned sometime back.

Anant Mundra — Mytemple Capital Advisors LLP — Analyst

And what is the book value of these land parcels that we own?

Paresh Mehta — Chief Financial Officer

It seemed to be around INR270-odd crores.

Anant Mundra — Mytemple Capital Advisors LLP — Analyst

INR270-odd crores? Okay. All right. That’s it from my end. Thank you, sir.

Operator

Thank you. The next question is from the line of Vasudev from Nuvama. Please go ahead.

Vasudev Ganatra — Nuvama Wealth — Analyst

Yes. Thank you for the opportunity, sir. So most of my questions are answered. I just had one question. If we look at our stand-alone balance sheet, the capital work in progress has gone up substantially in FY ’23. So what is the reason for that? And how much CapEx do we plan to do in FY ’24?

Paresh Mehta — Chief Financial Officer

So we did a CapEx of INR81 crores in last year. And in this coming year, the CapEx would be in the range of another INR80 crores, INR85 crores — another INR80 crores to INR90 crores.

Vasudev Ganatra — Nuvama Wealth — Analyst

Sir, if we see, our CWIC as on FY ’22 are INR17-odd crores.

Paresh Mehta — Chief Financial Officer

Yes. So that will be capitalized. These are for the new projects which we have started on — in the Kerala project. So accordingly, that will immediately put to use, and will be capitalized. Major CapEx required is for a couple of these projects like the Kerala project.

Vasudev Ganatra — Nuvama Wealth — Analyst

Okay. Okay. That’s it from my side. Thank you.

Operator

Thank you. The next question is from the line of Nikhil Kanodia from HDFC Securities Limited. Please go ahead.

Nikhil Kanodia — HDFC Securities Limited — Analyst

Good afternoon, sir. Thank you for the opportunity. Sir, first my question is, if there is a correct number, the bid pipeline is around INR72,000 crores, right?

Paresh Mehta — Chief Financial Officer

I didn’t follow, what was that?

Nikhil Kanodia — HDFC Securities Limited — Analyst

Sir, your bid pipeline [Indecipherable] then the bid pipeline is around INR72,000 crores.

Operator

Mr. Kanodia, your audio is not clear. I would request you to kindly use your handset, please?

Nikhil Kanodia — HDFC Securities Limited — Analyst

Any better now?

Operator

Yes, sir, please proceed.

Nikhil Kanodia — HDFC Securities Limited — Analyst

Sir, if I heard you correct, your bid pipeline is around INR72,000 crores, right?

Paresh Mehta — Chief Financial Officer

Right.

Nikhil Kanodia — HDFC Securities Limited — Analyst

Okay. And sir, on the MGL deal, so when do you expect to — that deal to complete?

Paresh Mehta — Chief Financial Officer

Which deal, sir?

Nikhil Kanodia — HDFC Securities Limited — Analyst

MGL.

Paresh Mehta — Chief Financial Officer

MGL deal. Yes, by — in October, November, we should be able to close it.

Nikhil Kanodia — HDFC Securities Limited — Analyst

Okay. And sir, with all these three deals expected to be committed this year, what is the kind of cash that you are expecting in this year and like the balance payment of the cash, like what would be the breakup?

Paresh Mehta — Chief Financial Officer

See, approximately INR450 crores is Chennai ORR project, around net INR300 crores in Jaora-Nayagaon project and around INR60 crores in the MGL deal. So that’s the immediate cash which will come in. Then there are HAM projects…

Nikhil Kanodia — HDFC Securities Limited — Analyst

This is FY ’24, right?

Paresh Mehta — Chief Financial Officer

FY ’23, ’24, yes.

Nikhil Kanodia — HDFC Securities Limited — Analyst

Okay. And sir, like any spillover in the next financial year? Like what sort of amount are we expecting in the next financial year from this deal?

Paresh Mehta — Chief Financial Officer

No. This will complete the deals as far as these three projects are concerned.

Nikhil Kanodia — HDFC Securities Limited — Analyst

Okay. Understood. And sir, on your margin front, I understand that you mentioned that for the first two or three quarters, you might — you will be executing the lower-margin projects and in the Q4, you are expecting the margins to normalize. So on an annual basis, what sort of — like if you were to give any guidance on net level, so what sort of number could we assume?

Paresh Mehta — Chief Financial Officer

I think it will be in the range of — between the range of 8.75% to 9.25%.

Nikhil Kanodia — HDFC Securities Limited — Analyst

8.75% to 9.25%, right?

Paresh Mehta — Chief Financial Officer

Yes. Yes.

Nikhil Kanodia — HDFC Securities Limited — Analyst

Okay, sir. Those are all my questions. Thank you, and all the best, sir.

Paresh Mehta — Chief Financial Officer

Thank you.

Operator

Thank you. The next question is from the line of Vaibhav Shah from JM Financial Limited. Please go ahead.

Vaibhav Shah — JM Financial Limited — Analyst

Yes. Thank you for the opportunity. Sir, have you removed any building order in this quarter? So last quarter, our backlog was around INR3,000 crores. And this quarter, it is around INR2,200 crores.

Satish D. Parakh — Managing Director

Yes. Grand Port Trust Hospital is what we have removed from the order book.

Vaibhav Shah — JM Financial Limited — Analyst

What hospital?

Satish D. Parakh — Managing Director

Grand Port Hospital in Mumbai. That order was not starting only. So that has been deleted by mutual understanding with the owners.

Vaibhav Shah — JM Financial Limited — Analyst

And value would be somewhere around INR600 crores?

Satish D. Parakh — Managing Director

INR600 crores, exactly.

Vaibhav Shah — JM Financial Limited — Analyst

Okay. Sir, secondly, what would be the current debt in the five BOT assets that was supposed to be sold to KKR?

Paresh Mehta — Chief Financial Officer

Yes, one second. This will be INR2,700 crores.

Vaibhav Shah — JM Financial Limited — Analyst

And what would be the loss funding that would be doing — expected in Sambalpur asset for FY ’24?

Paresh Mehta — Chief Financial Officer

Around INR60 crores to INR70 crores.

Vaibhav Shah — JM Financial Limited — Analyst

And what was the same number for FY ’23?

Paresh Mehta — Chief Financial Officer

Almost — slightly lower, but almost similar number.

Vaibhav Shah — JM Financial Limited — Analyst

Okay. Thank you, sir.

Operator

Thank you. We have the next question from the line of Saif Saurav [Phonetic] Gujar from ICICI Prudential AMC. Please go ahead.

Saif Gujar — ICICI Prudential AMC — Analyst

Good afternoon, sir. Thanks for the opportunity. I have couple of questions.

Operator

I’m sorry to interrupt. Sir, your volume is too low. Can you please increase it a liitle bit.

Saif Gujar — ICICI Prudential AMC — Analyst

Is it better? Hello?

Operator

Okay sir, proceed.

Saif Gujar — ICICI Prudential AMC — Analyst

Yes. So my first question is on the Bangladesh order. This $80 million project, so who is funding that? What type of pass-through agreements that we have here? When will the execution [Technical Issues] start? And whether we have all approvals at place for this?

Satish D. Parakh — Managing Director

Yes, here all approvals are in place. Work has already started and this is completely Exim Bank funded project.

Saif Gujar — ICICI Prudential AMC — Analyst

Okay. And what type of pass-through we have here in terms of some cost escalations or something or it is a fixed cost agreement?

Satish D. Parakh — Managing Director

This is a fixed price cost.

Saif Gujar — ICICI Prudential AMC — Analyst

Okay. And we are not hedged for FX or something, right? So it is a fixed cost — this $80 million is fixed?

Satish D. Parakh — Managing Director

Yes. So the advantage what we got is appreciation in the dollars.

Saif Gujar — ICICI Prudential AMC — Analyst

And my second question is other overseas projects. So any further update on those? Anything that we can expect to start, any movement…

Satish D. Parakh — Managing Director

See, Jaora [Phonetic] has already started now. We have almost completed 60% of the work. And now there’s a monsoon there, so post monsoon, maybe after two months, well that will pick up and move fast. Maldives, we have to start, so we’re still hoping for clearance from Exim Bank because this was a bias credit project, a different nature of project. This requires approval from Exim Bank, particularly from monsoon point of view. So this, we are expecting maybe next quarter we should get.

Saif Gujar — ICICI Prudential AMC — Analyst

Okay. And my third question would be on the debt structure. So how is the debt structure within the total borrowings? So is it fixed? Is it floating? If it is floating, whichever rate, it is linked to repo or bank, right?

Operator

I’m sorry, sir. Your audio is too low. Can you please use your handset.

Saif Gujar — ICICI Prudential AMC — Analyst

Is it better? Hello?

Operator

Yes, sir. Yes, sir. Please bring your mic or handset closer to your mouth and speak please.

Saif Gujar — ICICI Prudential AMC — Analyst

Yes, sure. So the question is regarding the debt structure. How is it? It is fixed, floating, whether it is linked to repo rate or bank rate? How is it?

Paresh Mehta — Chief Financial Officer

So in the working capital side, almost most — almost everything is for floating with certain debt linked to what do you call bank rates — repo rate. And on the toll projects or the HAM projects, few projects are linked to repo rate. And otherwise, most are linked to MCLAR — three months or six months MCLARs.

Saif Gujar — ICICI Prudential AMC — Analyst

Okay. Thanks, sir. That’s it.

Operator

Thank you. We have the next question from the line of Prem Khurana from Anand Rathi Shares. Please go ahead.

Prem Khurana — Anand Rathi Shares — Analyst

Sir, thank you for taking my question. Sir, so my question was…

Operator

I’m sorry sir. Your volume is too low again. Can you please increase the volume or you can use your handset.

Prem Khurana — Anand Rathi Shares — Analyst

Hello is it better?

Operator

Yes, sir. Please continue.

Prem Khurana — Anand Rathi Shares — Analyst

Yes, sure. Sir, my question was with respect to the KKR transaction, which fell through. So just want to understand, I mean, I think in your comments, you said that the did not go through because you couldn’t have approval from NHAI because there was some issue with the concession agreement for Dankuni in terms of COD and PCOD issue. Given the [Indeceipherable] efforts for these assets. And again, I’m assuming Dankuni since it’s a large project, it will still be a part of the transaction. So do we have that comfort now? Have we been kind of made to believe by the nature that this time around, you will get to have it and the concession would be changed according to kind of go ahead with the transaction?

Satish D. Parakh — Managing Director

So this time, what happens, two years get completed on August 2023. So any way pre — post of this issue doesn’t remain.

Prem Khurana — Anand Rathi Shares — Analyst

Sure.

Satish D. Parakh — Managing Director

So we are very sure that we’ll be able to close this — getting concession [Phonetic] in time.

Prem Khurana — Anand Rathi Shares — Analyst

Sir but I mean if that is the case — I mean KKR could have stayed back for another few months. I mean they waited for this transaction, so for all this while. And you canceled it in the month of May and August is I mean by when you would be able to have it even without a change in the concession, so we couldn’t convince that I’m going to stay back on another two, three months?

Paresh Mehta — Chief Financial Officer

I think it’s more also related to their fund life. That’s what we gather. So there also fund life was ending in August. That’s what I understand. So that would be too close and my permission would have started by August and would have got it by, say, September end or October. In the new set of deals, we will be able to pull it through once our negotiations over and the NOC will fall in line along with the August dates.

Prem Khurana — Anand Rathi Shares — Analyst

Sure, sir. Second question was, I mean, so when I look at the balance sheet, it seems that if an SBI Macquarie payout, which was around INR1,200 crores, this has gone to INR1,272 crores now. Am I right in my reading?

Paresh Mehta — Chief Financial Officer

Correct. As I explained just now, 8% carry, which we have calculated from 1st July ’22.

Prem Khurana — Anand Rathi Shares — Analyst

And sir, just I mean, if you could help us with the revenue breakup for the quarter, please? I mean in terms of segments, road EPC and road hybrid and the verticals?

Paresh Mehta — Chief Financial Officer

Want it for the quarter?

Prem Khurana — Anand Rathi Shares — Analyst

Yes, sir, quarter.

Paresh Mehta — Chief Financial Officer

So on the EPC roads, it was INR1,410 crores, 1-4-1-0 crores. On the power front, it was INR222 crores. On the railway front, INR163 crores. And balance approximately including all smart infra building, all put together, around INR190 crores.

Prem Khurana — Anand Rathi Shares — Analyst

Sir, how much would be CGD and how much would the sale of…

Paresh Mehta — Chief Financial Officer

CGD would be small, around, say, INR8 crores. Pardon, what do you say?

Prem Khurana — Anand Rathi Shares — Analyst

No. CGD would be INR8 crores, right? I mean we also tend to have the sale of RMC. How much would that be?

Paresh Mehta — Chief Financial Officer

Sale of RMC would be INR56 crores.

Prem Khurana — Anand Rathi Shares — Analyst

Okay.

Paresh Mehta — Chief Financial Officer

This is over and above the — so this is above what I said INR190 crores.

Prem Khurana — Anand Rathi Shares — Analyst

Okay.

Paresh Mehta — Chief Financial Officer

So sale of RMC over and above INR190 crores, so INR56 crores is on RMC.

Prem Khurana — Anand Rathi Shares — Analyst

Sure. And INR8 crores is a part — I mean CGD is a part of that INR190 crores, right?

Paresh Mehta — Chief Financial Officer

Yes. Yes.

Prem Khurana — Anand Rathi Shares — Analyst

Okay. Sure, sir. Thank you, and all the very best for future.

Paresh Mehta — Chief Financial Officer

Thank you.

Operator

Thank you. The next question is from the line of Ash Shah from Elara Capital. Please go ahead.

Ash Shah — Elara Capital — Analyst

Sir, can you give the revenue breakup for FY ’23 as well?

Paresh Mehta — Chief Financial Officer

Yes. For FY ’23, roads is INR4,393 crores, power is INR675 crores, railways is INR640 crores, CGD is INR51 crores, RMC is INR217 crores and other verticals INR380 crores.

Ash Shah — Elara Capital — Analyst

Okay. Also, how much have we invested in the CGD business till now?

Paresh Mehta — Chief Financial Officer

CGD business, INR67 crores.

Ash Shah — Elara Capital — Analyst

INR67 crores, okay. Yes. That’s all from my side. Thank you.

Operator

Thank you. The next question is from the line of Jitendra Bakker [Phonetic] from JD Capital. Please go ahead. Mr. Bakker, I’ve unmuted your line. Kindly proceed with your question. As the current participant is not answering, we move on to the next question, which is from the line of Bharani Vijayakumar from Spark Capital. Please go ahead.

Bharanidhar Vijayakumar — Spark Institutional Equities Private Limited — Analyst

Good evening, sir. Can you refresh a bit on the Chennai ORR and Jaora-Nayagaon project total value for us and how we get to a INR450 crores and INR300crores for Jaora-Nayagaon?

Paresh Mehta — Chief Financial Officer

So on the Chennai ORR, the total value which we’ll get is approximately INR650 crores, of which INR450 crores which — INR650 crores includes debt given by ABL to the SPV, the shareholders’ loan. So Ashoka Buildcon will get INR450 crores out of that monetization. And then the Jaora-Nayagaon project, Ashoka Buildcon will get approximately INR500-odd crores, of which INR180 crores is already drawn by Ashoka Buildcon from the SPV in the past. So net receipt would be around INR300 crores.

Bharanidhar Vijayakumar — Spark Institutional Equities Private Limited — Analyst

And the Mahanagar deal, it will be full 51% on the total deal value?

Paresh Mehta — Chief Financial Officer

Yes, INR531 crores. So 51% of INR531 crores.

Bharanidhar Vijayakumar — Spark Institutional Equities Private Limited — Analyst

And coming to the Dankuni project COD, which is the reason why the deal kind of got canceled. So just let me understand how this project — because it’s been operational for quite some time. So how is this PCOD and COD still delayed for so long?

Satish D. Parakh — Managing Director

We had pre-COD long back, around eight years back, but COD was delayed because some of the underpasses could not be carried out because of land acquisition issues. And this particular project, pre-COD provision is not there. So commercial operation actually started from day one. This was a four to six lane project.

Bharanidhar Vijayakumar — Spark Institutional Equities Private Limited — Analyst

Correct. So that’s the same.

Satish D. Parakh — Managing Director

We could get COD only on completion of all the underpasses that finally could give us, and technically, since only COD condition was there, two years from COD is the time line which they have to adhere to, for which we tried for relaxation through various forms, but we could not achieve that.

Bharanidhar Vijayakumar — Spark Institutional Equities Private Limited — Analyst

Sir, if I understand right, the project has been collecting toll and been operating for eight years, but we have not been able to get final COD because of land acquisition issues or these underpasses issues, right?

Satish D. Parakh — Managing Director

Correct. It has nothing to do with the revenues part. Revenues we were getting full from day one. We got our revisions of toll in time, but a technical issue of getting project completion was delayed because of the land acquisition issue.

Bharanidhar Vijayakumar — Spark Institutional Equities Private Limited — Analyst

Okay. But that will now be obtained in August of 2023?

Satish D. Parakh — Managing Director

The COD we already got and two years will be complete by August ’23. So in August ’21, we got the final COD. So two years from that date is August ’23, after which they can permit us to sell our shares.

Bharanidhar Vijayakumar — Spark Institutional Equities Private Limited — Analyst

Right. But isn’t it one year now, new norm for BOT projects?

Satish D. Parakh — Managing Director

New norms for one year, those were for model concession agreement. This was an agreement before that. So that correction, again, was to be done, which was in the process and could not be done.

Bharanidhar Vijayakumar — Spark Institutional Equities Private Limited — Analyst

Okay, sir. Thank you so much. All the best.

Operator

Thank you. The next question is from the line of Akhilesh B, an Individual Investor. Please go ahead.

Akhilesh B — Individual Investor — Analyst

Hi. Good afternoon. Am I audible?

Operator

Yes. Please proceed.

Akhilesh B — Individual Investor — Analyst

Yes. Sir, what is the status of the project with NTPC?

Satish D. Parakh — Managing Director

NTPC, almost entire land acquisition is in position. Part of the land is yet to be transferred to NTPC. All the prework which has to be carried out, like doing piling and putting up the entire structure, we get that gambling. 90% of it is over and only ordering of modules for which we have given the LOA and we are yet to finalize on the PO of the modules, which we would do in the month of June or July. And we have extension up to 2024 without any penalty to us.

Akhilesh B — Individual Investor — Analyst

And now do you anticipate any loss to us on the modules?

Satish D. Parakh — Managing Director

Yes, since we’re given extension, we are negotiating for price variation with them. If we get price variation, then there won’t be any loss. If we do not get price variation, only on ordering of module, you will be able to identify what exact loss we need to book. But the prices are substantially corrected from the peak, and we expect them to, by June-sale [Phonetic], it should come to our expected levels.

Akhilesh B — Individual Investor — Analyst

And sir, I just want to reconfirm a couple of things. You have mentioned that the funding support to these bought projects is only to Sambalpur and it’s only INR60 crores to INR70 crores that you expect in FY ’24. Is that correct, sir?

Paresh Mehta — Chief Financial Officer

Right.

Akhilesh B — Individual Investor — Analyst

And the deferred NHAI premium on these five projects is only around INR700 crores in total.

Paresh Mehta — Chief Financial Officer

Yes, I will confirm that, but that’s what — I don’t have the number off hand, but approximately that.

Satish D. Parakh — Managing Director

Yes, INR750 crores to be exact.

Akhilesh B — Individual Investor — Analyst

Okay. And you suggested that you are expecting a better valuation this time around for these bought assets compared to what we signed in ’21. Is that right?

Paresh Mehta — Chief Financial Officer

Yes. Definitely, I mean, seeing the revenue stacking more than what was considered at the time of valuation when it was given in ’21, there is — the model would be run in the same way. So definitely, it will throw up a substantially large variation to INR1,337 crores. In fact, INR1,337 crores, two years have passed of ’21 valuation, now it will become ’23 or ’24 valuation. So that kind of a yearly increase will definitely happen. And based on the traffic incremental and even WPI being more than which was there in the past three years — three or four years back, the valuation should be substantially better.

Akhilesh B — Individual Investor — Analyst

Sir, my last question is on the HAM disinvestment. So do you expect to close something by the end of Q1? Or will it take much longer?

Paresh Mehta — Chief Financial Officer

So we expect to sign an SPA — we are working on the SPA with the potential investors, trying to close it and try to do it as early as possible, giving a time frame of around eight weeks’ time maximum. And then work on the projects which are already PCOD done and six months are over where the permission is available, it can be given by NHAI. So some of the assets will definitely — pardon?

Akhilesh B — Individual Investor — Analyst

So we could avoid the issues like we had in the KKR transaction in terms of…

Paresh Mehta — Chief Financial Officer

Here, the SOPs of NHAI are quite clear and simple. And there is not much issue. There are not long-drawn issues also in these projects. These are hardly two years old projects. So issues — and NOC should be given faster.

Akhilesh B — Individual Investor — Analyst

So this would be comparatively much more straightforward?

Paresh Mehta — Chief Financial Officer

Yes. Yes. Yes. Yes.

Akhilesh B — Individual Investor — Analyst

Okay. That’s all from my side. Thank you.

Operator

Thank you. The next question is from the line of Ash Shah from Elara Capital. Please go ahead.

Ash Shah — Elara Capital — Analyst

Sir, can you just repeat the order inflow guidance for FY ’24?

Satish D. Parakh — Managing Director

Yes. So in road sector, we expect around INR5,000 crores to INR7,000 crores, and others like railways and power and buildings, on the INR2,000 crores to INR3,000 crores. So what we expect is around INR8,000 crores to INR10,000 crores should be what we should be able to clock this year.

Ash Shah — Elara Capital — Analyst

Okay. Okay. Yes. Thank you.

Operator

Thank you. The next question is from the line of Hari Kumar, an Individual Investor. Please go ahead.

Hari Kumar — Individual Investor — Analyst

Good afternoon, sir. Am I audible, ma’am?

Operator

Yes sir, you are audible.

Hari Kumar — Individual Investor — Analyst

Okay. The first question is regarding the interest of INR1,100 crores on consolidated debt of INR6,900 crores. Like are we paying a higher rate of interest or any other reason is there for these high rates? And also a related question is, is there any interest that is being capitalized in the books, sir? That is the first question.

Paresh Mehta — Chief Financial Officer

Yes. So the asset is — there’s an Ind AS policy which is being adopted for amortizing the asset and providing of the interest. So interest rate is in the range of — as I said, in the range of 9% — 9% to 10% for term loan assets, like BOT assets and HAM assets are lower.

Hari Kumar — Individual Investor — Analyst

Is there any other bid value INR6,900 crores, sir, because we are paying INR1,100 crores of interest?

Paresh Mehta — Chief Financial Officer

Maybe I’ll just — give me some time, I’ll come back.

Hari Kumar — Individual Investor — Analyst

Okay. The second question is, this impairment, which we have written back like once we resell it again, we can like go for the impairments again?

Paresh Mehta — Chief Financial Officer

So the movement of impairment was created by the reduction in the interest rate regime in the HAM projects two years back, 2021. And due to that valuations of HAM projects got impaired. Due to increase in the interest rates in the past eight months, these valuations have been reinstated and whatever impairment was taken then has been reversed.

Hari Kumar — Individual Investor — Analyst

Okay. Thank you.

Operator

Thank you. Ladies and gentlemen, that was the last question for today. I would now like to hand the conference over to the management for closing comments. Over to you, sir.

Paresh Mehta — Chief Financial Officer

We thank all the investors who have joined for the investor call. I know there are a couple of queries, which will be read-out [Phonetic]. We are free to answer them once on an off-line basis. The details of contracts are given in our presentations. So we’re available to give any replies. And thanks again for joining the call.

Satish D. Parakh — Managing Director

Thank you, everyone.

Operator

[Operator Closing Remarks]