Industrial Finance Corporation of India (IFCI), a government-owned finance company, has announced plans to sell its 26% stake in Jaora Nayagaon Toll Road Company Private Ltd (JTCL) set up to execute a toll road PPP project  in Madhya Pradesh, India.

IGCI expects to conclude the sale by September this year.

Srei Venture Capital Trust, which holds 33.98% stake, and Ashoka Concessions which holds 23% stake are the other shareholders in the project. The project investment was estimated at Rs9 billion (US$228.7 million).

IFCI will engage the services of an independent consultant to evaluate the traffic and revenue estimates for the rest of the concession period. The consultant will also carry out the equity valuation of the project.

Jaora - Nayagaon Toll Road Company Private Limited is a private company incorporated on 10 July 2007.

In August 2007, the project to four-lane the Jaora - Nayagaon road was awarded to JTCL on a build, operate, and transfer (BOT) basis.

The project has a concession period of 25 years, from 2007 to 2032. The road passes through three districts in the state - Ratlam, Mandsaur and Neemuch. Three sections of the project, Jaora-Mandsaur, Mandsaur-Neemuch and Neemuch-Nayagaon, were commissioned in February 2012.