Shares of HG Infra gained on Thursday's session after the company emerged as the lowest bidder for the Ministry of Road Transport and Highways (MORTH) project.

What Happened: HG Infra in a regulatory filing said the company has been declared as the lowest bidder by the MORTH in a project in Uttar Pradesh. The company will improve and upgrade two lanes with paved shoulders configuration of NH-227B Bahuvan Madar Majha to Jagarnathpur in Uttar Pradesh. The construction will happen over a length of 63.84 kilometres and HG Infra won the project for ₹763.11 crore. 

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The project will be financed by Hybrid Annuity Mode (HAM) and need to be completed within two years. In HAM, the National Highways Authority of India will pay 40% of the total project expenditure in ten equal instalments. The rest will be financed by the company. 

Axis Securities had named HG Infra as one of its top picks in road infrastructure companies after the central government announced slew of infrastructure projects for Andhra Pradesh in the Union Budget. 

Price Action: Shares of HG Infra surged 5.38% to intraday high of ₹1,729.75 on Thursday's session. 

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