Update on MEP Infrastructure Developers Ltd.

~Sumon Mukhopadhyay.

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Introduction: MEP Infrastructure Developers Ltd (Rs.1.55), the Mumbai-based toll and road operations firm established in 2002, remains a key player in India’s toll collection and road maintenance space. Photo: MEP Infrastructure Ltd.

Despite financial distress, the company continues to operate toll plazas and highways across multiple states, including Maharashtra, Gujarat, and Jharkhand.

Insolvency Resolution – Awaiting NCLT Approval:

The Committee of Creditors (CoC)-approved resolution plan, filed under Section 31 of the Insolvency and Bankruptcy Code (IBC), 2016, is still pending before the NCLT, Mumbai Bench.

The Corporate Insolvency Resolution Process (CIRP), led by Ravindra Kumar Goyal, began on March 28, 2024, after a ₹127 crore default to Bank of India.

The resolution plan aims to restructure over ₹5,000 crore of liabilities, including unpaid toll taxes to the Delhi government (upheld by the Supreme Court). Final details will only emerge after NCLT approval.

Toll Operations and Public Reactions:

MEP continues toll operations at key plazas such as Dahisar Toll Plaza in Mumbai.

Recent repairs (done on August 24) deteriorated within nine days, drawing public backlash and a viral video with over 119,000 views.

Market Buzz:

There is market buzz that MEP has bagged over ₹8,000 crore in NHAI contracts, including ₹3,800 crore across six HAM projects in Gujarat and Maharashtra.

The buzz also mentions alleged links between promoter Anuya Mhaiskar and a well known politician influencing contract awards.

However, no formal investigation has been announced, so investors should treat this as unverified chatter.

Financial & Operational Snapshot:

🔹Segments: Toll collection (~70% revenue) and construction.

🔹Contracts: Active across 1–16 year periods.

🔹Financials: Q1 FY2025 posted net losses (₹45–64 crore range), but debtor days improved sharply to 28.1 (from 47.5)

🔹Historical Wins: ₹826 crore for NH-66 four-laning and ₹1,247 crore projects in Gujarat

Positive View:

Despite insolvency, MEP has kept operations running — a sign of institutional trust and operational discipline.

Improving debtor metrics and stable promoter holding suggest that the company is preparing for a stronger post-resolution phase.

If NCLT clears the resolution plan, MEP could emerge leaner and more competitive, ready to re-enter bidding cycles and regain investor confidence.

For global readers, MEP remains a turnaround candidate to watch in India’s tolling sector — a classic case study of survival through CIRP while maintaining operational continuity.

Editorial Verdict: The non - risk taking blog readers are suggested to not to take fresh positions in the counter till the air over the company gets more clear and crisp. They can however hold their positions with appropriate Stop Losses.

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Disclaimer:
This report is prepared for educational and informational purposes only and should not be construed as investment advice or a recommendation to buy, sell, or hold any security. The information is compiled from publicly available sources and reliable market references. Market Buzz sections may include unverified news, industry chatter, or social media discussions and must be treated as such.

Readers are advised to do their own due diligence or consult a financial advisor before making any investment decisions. The author and the blog accept no liability for any financial loss arising from actions taken based on this content.