Cube Highways Trust SPV Concession Ends

Concession period for APEPL expired September 14, 2026; handover process to NHAI has officially commenced.

Reader Takeaway: Project handover is a standard lifecycle event, but the future structural utility of the APEPL SPV remains under evaluation.

What just happened

The concession agreement for Andhra Pradesh Expressway Private Limited (APEPL), a special purpose vehicle under Cube Highways Trust, concluded on September 14, 2026. APEPL has initiated the formal handover of the Kothakota to Kurnool segment of NH-44 back to the National Highways Authority of India (NHAI) in compliance with the original contract terms.

Why this matters

This marks the end of the revenue-generating cycle for this specific road asset within the Trust. For unitholders, the focus shifts to how the Investment Manager manages the SPV post-concession. The company is currently assessing options for the entity in line with SEBI InvIT regulations and circulars to determine its future role or potential restructuring within the broader trust framework.

The backstory

The project was originally commissioned in 2005 to develop a highway stretch under the Hybrid Annuity Model. It connects Kothakota in Telangana to Kurnool in Andhra Pradesh, serving as a critical infrastructure corridor on NH-44.

What to track next

Investors should monitor official disclosures regarding the final disposal or repurposing of APEPL. The board’s decision on the entity’s future, subject to regulatory approvals, will clarify how the Trust intends to navigate the post-concession life of this SPV.