VA Tech Wabag, a company that provides water treatment for municipal and industrial users, has completed financial closure for its hybrid annuity model (HAM) project. The company will acquire DK Sewage Project for Rs 29 crore to aid the HAM project.

The company will execute projects worth Rs 2,500 crore over 24 months, said Rajneesh Chopra, global head-business development at VA Tech Wabag.

Speaking in an interview to CNBC-TV18, Chopra said, “Almost Rs 2,500 crore worth of projects are under execution and this will definitely result into better revenue for us in the coming financial year because these are fast track projects and we expect all these projects to be completed over the span of 24 months.”

“Since these are hybrid annuity model, the internal rate of return (IRR) is also as per expectations of lenders and our equity partners,” he said.

Chopra further said, “We will end this year with growth despite the pandemic and going forward, definitely, it is going to be a growth year. We have a very strong order book and therefore, we expect our EBITDA will grow at a better pace than our topline next year.”

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(Edited by : Ankit Gohel)