Gayatri Highways Completes 23% Acquisition in HKR Roadways; Target Revenue Reaches ₹264 Crore
Gayatri Highways Limited has completed the acquisition of a 23% equity stake in HKR Roadways Limited, strengthening its exposure to the infrastructure and road-development sector.
The company informed the stock exchanges on August 28, 2026, that the acquisition, which was originally proposed in February 2026, was completed on August 27, 2026.
Gayatri Highways acquired approximately 10,67,729 fully paid-up equity shares of HKR Roadways, representing 23% of the company’s equity share capital, from Kotak Special Situations Fund.
Gayatri Highways Acquisition: Key Details
According to the company’s regulatory filing, the key details are:
- Acquirer: Gayatri Highways Limited
- Target: HKR Roadways Limited
- Stake acquired: 23%
- Shares acquired: 10,67,729 equity shares
- Face value: ₹10 per share
- Seller: Kotak Special Situations Fund
- Completion date: August 27, 2026
- Consideration: Cash
- Target industry: Infrastructure
- Target FY2024-25 revenue: ₹264.03 crore
- Related-party transaction: No
- Promoter/group interest in target: No
- Target presence: India
Gayatri Highways Acquires 23% Stake in HKR Roadways
The acquisition gives Gayatri Highways a 23% interest in HKR Roadways Limited, an infrastructure company associated with the development and operation of a major road project.
HKR Roadways was incorporated for the four-laning of the Hyderabad–Karimnagar–Ramagundam Road (SH-1) from Km 28.200 to Km 235.058 under a Public-Private Partnership (PPP) and Build, Operate and Transfer (BOT) structure.
The project involves the collection of tolls, fees from users in accordance with the applicable concession agreement.
For Gayatri Highways, the investment is aligned with its existing infrastructure focus.
HKR Roadways Revenue Rises to ₹264 Crore
One of the important aspects of the acquisition is the operating revenue generated by the target company.
HKR Roadways reported the following total revenue:
- FY2024-25: ₹264.03 crore
- FY2023-24: ₹245.78 crore
- FY2022-23: ₹225.40 crore
The company’s revenue has therefore increased over the three years disclosed in the regulatory filing.
From FY2022-23 to FY2024-25, revenue increased by approximately 17.1%.
This provides Gayatri Highways with exposure to an established infrastructure asset rather than an early-stage project.
Acquisition Completed After Earlier Disclosures
Gayatri Highways had originally disclosed the proposed acquisition on February 12, 2026.
At that time, the company expected the acquisition to be completed by June 30, 2026.
The company subsequently updated investors on June 23, 2026, stating that the acquisition would be completed on or before September 30, 2026.
The transaction was ultimately completed earlier than that revised deadline, on August 27, 2026.
The latest filing confirms the successful completion of the acquisition.
Kotak Special Situations Fund as Seller
The 23% stake was acquired from Kotak Special Situations Fund, which was an existing shareholder of HKR Roadways.
The transaction therefore provides Gayatri Highways with a direct minority interest in the target company.
Importantly, the company has stated that the acquisition does not fall under related-party transactions, and the promoter/promoter group/group companies have no interest in HKR Roadways.
Acquisition Consideration Has Not Been Disclosed
A key point investors should note is that the August 28 regulatory filing does not disclose the final monetary consideration paid for the acquisition.
The disclosure states that the consideration is in cash, but the acquisition cost or final purchase price is not provided in the information contained in the filing.
Therefore, it would be inappropriate to describe this as a ₹X crore acquisition without an official disclosure confirming the amount.
The purchase price will be important for investors because it will allow the market to assess the valuation at which Gayatri Highways acquired its 23% interest.
Why the Acquisition Matters for Gayatri Highways
Gayatri Highways operates in the infrastructure sector, making the acquisition strategically relevant to its existing business.
The company itself stated that investment in HKR Roadways is expected to be beneficial for its future growth prospects.
The acquisition provides exposure to an infrastructure asset operating under a PPP/BOT framework and associated with the Hyderabad–Karimnagar–Ramagundam road project.
For Gayatri Highways, the investment could potentially strengthen its infrastructure portfolio and provide participation in the economic benefits generated by the target company, subject to the terms of the investment and the performance of HKR Roadways.
What Investors Should Watch
While the acquisition is strategically important, investors should monitor several factors before assessing its overall financial impact.
1. Acquisition Cost
The actual purchase consideration is important for determining the valuation paid by Gayatri Highways.
2. HKR Roadways Profitability
Revenue growth alone does not determine the value of the investment. Investors should also examine EBITDA, profit after tax, cash flows and debt levels of HKR Roadways.
3. Road Project Performance
The performance of the underlying road project, including traffic volumes and toll collections, could influence the financial performance of HKR Roadways.
4. Concession Terms
The remaining concession period and terms of the PPP/BOT arrangement are important for determining the long-term economic value of the asset.
5. Financial Impact on Gayatri Highways
Investors should look for subsequent financial statements to understand how the investment will affect Gayatri Highways’ balance sheet, cash flows and earnings.
Point to consider
The completion of the 23% acquisition in HKR Roadways Limited represents an important development for Gayatri Highways and expands its exposure to India’s road-infrastructure sector.
HKR Roadways operates under a PPP/BOT model and is associated with the Hyderabad–Karimnagar–Ramagundam road project.
Its total revenue increased from ₹225.40 crore in FY2022-23 to ₹264.03 crore in FY2024-25, indicating growth over the period disclosed by the company.
The acquisition was completed on August 27, 2026, after the company had previously announced the proposed transaction in February.
However, investors should note that the final acquisition consideration is not disclosed in the August 28 filing. Consequently, the valuation and immediate financial impact of the transaction cannot be fully assessed from this announcement alone.
Further disclosures regarding the purchase consideration, HKR Roadways’ profitability, cash flows and concession economics will be important for evaluating the transaction.
Disclaimer
This article is intended solely for informational and educational purposes and should not be considered investment, financial, legal or tax advice or a recommendation to buy or sell shares of Gayatri Highways Limited.
The article is based on the company’s regulatory disclosure dated August 28, 2026. The final monetary consideration paid for the 23% acquisition has not been disclosed in the filing provided and therefore no acquisition value has been estimated in this article.
Revenue figures and other company information are reproduced from the regulatory disclosure and should not be interpreted as an assessment of the future financial performance of HKR Roadways or Gayatri Highways.
Infrastructure projects are subject to operational, regulatory, financing, traffic, concession and other risks. Investors should conduct their own research and review the complete official company disclosures before making an investment decision. Investors seeking personalised investment advice should consult a SEBI-registered investment adviser.