PNC Infratech Receives ₹485 Crore Arbitration Award in Dispute with NHAI

PNC Infratech Limited, a leading infrastructure development company, has achieved a significant legal victory with an arbitral tribunal awarding it ₹485.28 crore in connection with a road construction project executed for the National Highways Authority of India (NHAI). 

The award settles a long-standing dispute over an EPC project carried out in Uttar Pradesh and comes as a notable development in the company’s ongoing efforts to recover dues from public infrastructure undertakings.

Details of the Dispute and Arbitration Proceedings

The arbitration pertained to the “Construction of Balance work of new 4-lane Agra Bypass” project, part of the national highway network enhancement. Disagreements had emerged during execution, prompting PNC Infratech to initiate arbitration under the terms of the contract. The tribunal, comprising three former justices of the Supreme Court of India: Justice K.S.P. Radhakrishnan, Justice G.S. Singhvi, and Justice Dipak Misra, adjudicated the matter.

The company had raised claims amounting to ₹661.51 crore, including interest, while NHAI filed counterclaims of ₹38.52 crore. After deliberation, the tribunal rejected NHAI’s counterclaims and issued an award in favour of PNC Infratech for ₹485.28 crore, with an annual interest of 12% from the date of the award until realisation.

Financial Implications and Corporate Impact

This award is expected to significantly bolster PNC Infratech’s financial position once the amount is realised. Although the exact financial impact will depend on the timing and completeness of the payment, the outcome strengthens the company's balance sheet and affirms the efficacy of its legal and contractual processes.

Read More: PNC Infratech Emerges as L1 Bidder for Major Flyover Project in Bharatpur, Rajasthan

PNC Infratech Share Performance 

As of May 19, 2025, at 11:00 AM, PNC Infratech share price is trading at ₹291.25, a surge of 3.94% from the previous closing price. Over the past month, the stock has surged by 4.48%.

Conclusion

The ₹485.28 crore arbitration award in favour of PNC Infratech marks a major development in the resolution of its dispute with NHAI. With the tribunal’s decision affirming its claims and rejecting counterclaims, the company stands to gain both financially and reputationally, further solidifying its position in the infrastructure sector.
 

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