State signs takeover deal, plans expansion and passenger-friendly reforms
Hyderabad: In a major shift for urban transport in Telangana, the State Government has taken full control of Phase-I of the Hyderabad Metro Rail after signing an agreement with Larsen & Toubro on Wednesday.
Under the deal, the government, through Hyderabad Metro Rail Limited (HMRL), acquired 100 percent shares held by L&T Metro Rail (Hyderabad) Limited for an equity value of ₹1,461.47 crore.
The takeover marks the end of private control over one of India’s largest metro rail projects and brings the entire Phase-I network under state ownership.
What the Agreement Includes
The agreement was signed at the State Secretariat in the presence of senior officials including Chief Secretary K. Ramakrishna Rao, Special Chief Secretary Jayesh Ranjan, and HMRL MD Sarfaraz Ahmed, along with representatives of L&T.
Officials said debt worth ₹13,538.53 crore, earlier guaranteed by L&T, will now be refinanced with support from the State Government.
Sarfaraz Ahmed signed on behalf of HMRL
D.K. Sen signed for L&T Ltd
KVB Reddy signed for LTMRHL
IDBI Capital acted as transaction advisor, while Saraf and Partners provided legal support for the deal.
What Changes for Passengers
The government said the takeover will help improve coordination in planning, execution and operations of both the existing network and future expansion projects.
Officials are now preparing plans for:
Better passenger services
Improved operations and maintenance
Faster expansion of future Metro corridors
Integrated planning for Phase-I and upcoming Phase-II routes
A more reliable and commuter-friendly network for Hyderabad
Hyderabad Metro by the Numbers
The Hyderabad Metro Phase-I network has been operating since November 2017 across 69 kilometres and three corridors.
Around 4.5 lakh passengers use the Metro daily
More than 86 crore passenger trips have been recorded since launch
L&T Chairman Meets CM Revanth Reddy
Before the agreement signing, S. N. Subrahmanyan met A. Revanth Reddy and discussed the future direction of Hyderabad Metro services after the transition.
