Coastal Projects Limited (Surendra Sabbineni, Managing Director) has acquired a 26-per cent stake in Societa Esecuzione Lavori Idraulici S.p.A (SELI) of Italy, for around 17.85 million euros (approximately Rs108 crore).
SELI, one of the world's most experienced tunneling contractors, has established operations across the world, including India.
Hyderabad-based Coastal Projects, a civil engineering and construction firm, specialises in tunneling and underground excavation for hydro-electric, irrigation, rail, road and mining projects. The company has successfully completed more than 75 km of tunneling work and has 250 km under execution at present.
SELI also designs and builds hard rock and soft ground tunnel boring machines and auxiliary equipment at its manufacturing facility located in Italy.
SELI has completed more than 520 km of tunnels with the use of mechanised excavation systems and has completed 68 projects around the world.
Coastal Projects and SELI will also work together in South Asia, especially India, in view of the large construction and development works currently in progress and expected shortly in these countries. Both parties expect considerable business opportunities for their expertise With increased use of tunnel boring machines in a number of tunneling projects in India, Coastal Projects expects to benefit from its association with SELI.
Coastal Projects already owns three TBMs in India and SELI's know-how and global expertise in operations and manufacturing of these machines will be a key factor in the company's bidding and execution of projects.
Costal Projects is one of the pioneers and specialists in underground excavation in the country covering civil construction of hydroelectric projects, underground powerhouse complexes, shafts, rail tunnels, water carriage tunnels and road works.
The company, with a turnover of over Rs1,300 crore, has current orders of over Rs7,500 crore.
The company is backed by prominent global private equity investors such as Barings, Sequoia Capital, Fidelity and Deutsche Bank.