Highway Infrastructure shares rallied 5% to ₹46.90 following the company's receipt of a significant contract from the National Highways Authority of India (NHAI). According to latest reports, the company secured a Letter of Acceptance (LoA) worth ₹80.17 crore for operations at Palayam Fee Plaza in Tamil Nadu. The contract involves user fee collection at Palayam Fee Plaza located at Km 154+500 of National Highway 44 (NH-44) on the Krishnagiri-Thumbipadi section from Km 94+000 to Km 180+000 on a Build-Operate-Transfer (BOT) basis. NHAI issued the Letter of Acceptance on August 17, 2026, as per the regulatory filing.
The Palayam Fee Plaza is strategically located on the Krishnagiri-Thumbipadi section of NH-44, which provides connectivity to Bengaluru, Hosur and Dharmapuri, as well as key industrial belts. According to the company, the stretch supports passenger movement, freight flow, logistics activity and toll revenue potential. Under the new agreement, Highway Infrastructure will undertake comprehensive operations including user fee collection services, upkeep and maintenance of adjacent toilet blocks, and replenishment of consumable items. The contract is scheduled for completion within 90 days of the award.
Arun Kumar Jain, Managing Director of Highway Infrastructure Limited, expressed satisfaction with the contract win, stating it represents "another important milestone in our growing toll collection business and strengthens our presence on a strategically important national highway corridor." Jain emphasized the company's commitment to adopting a technology-focused approach to enhance operational efficiency and improve collection processes. He noted that as the company expands its tolling portfolio, they are increasingly focusing on technology adoption to deliver reliable service standards and create sustainable value for shareholders.
The company's healthy order book continues to provide strong revenue visibility, with the order book standing at ₹789 crore as of June 30, 2026. According to the regulatory filing, this comprises ₹282 crore from tollway collection and ₹507 crore from EPC infrastructure. The company secured a new tollway collection contract worth ₹28.7 crore in July 2026, while its EPC division continues to pursue opportunities with an H1/L1 pipeline of around ₹64 crore. In February 2026, the company had also secured a ₹154.6 crore contract for operations at Moti Naroli Fee Plaza in Gujarat.
The stock opened 2.34% higher at ₹45.50 and extended gains to touch an intraday high of ₹46.90 on Tuesday, August 18. However, over the past year, Highway Infrastructure shares have fallen 60.46%, with an absolute decline of ₹70.39. The scrip rose as much as 5.49% to ₹46.90 during the trading session, compared to a 0.34% fall in the NSE Nifty 50 Index. Shares of Highway Infrastructure Ltd ended at ₹46.40, up by ₹1.81, or 4.06%, on the BSE, reflecting positive market response to the contract announcement.
