NCC wins Rs 1,286 crore order for Hyderabad's Radial Road-2, first package

Construction company NCC Limited has received a letter of acceptance worth Rs 1,286.03 crore, excluding GST, from Hyderabad Growth Corridor Limited (HGCL) to build the first package of Radial Road-2, a new road running south-west from the city's Outer Ring Road. The company disclosed the award in a stock exchange filing dated Thursday, October 8, 2026. Package-1 covers the stretch from Budwel, near the Outer Ring Road, to Shabad, and is to be completed in 18 months from the start of work, according to the filing as reported. NCC's shares rose in Friday's trade on October 9 after the news. The award comes while the Telangana High Court is hearing a petition by a bidder who was disqualified from the tender; the court has said HGCL's decisions on the project's packages will be subject to its final orders.

Hyderabad has grown outward along a few main highways, and the land beyond the Outer Ring Road is where its next phase of housing and industry is being planned. Radial roads are designed to open up that land. Radial Road-2 is planned as a high-speed greenfield road linking the Outer Ring Road with the national highway network to the south-west and, eventually, with the proposed Regional Ring Road further out. Reports describe it as a way to support growth in the city's peripheral region and to give traffic an alternative to the busy Hyderabad-Bengaluru highway.

For the local economy, a project of this size means construction jobs over the next year and a half, and demand for materials such as cement, steel and aggregates from regional suppliers. Once complete, better access usually lifts land values and draws warehouses, factories and housing to the villages along the route. Reports note that land acquisition is still under way, and that some affected farmers have agreed in principle to give land.

The court case is the key risk. If the High Court finds fault with how the tender was handled, the award could be revisited. Until then, the project's timetable rests partly on how quickly that petition is decided.

For NCC, the award adds a sizeable Telangana project to its pipeline of public infrastructure work.

Short-term: Mobilisation of equipment and workers on the Budwel-Shabad stretch once work starts, subject to land availability and the court case.

Long-term: A faster link from the Outer Ring Road towards the south-west could shift housing, logistics and industrial investment into the Rangareddy countryside.

Who is affected: Commuters and freight operators in south-west Hyderabad, landowners and farmers along the route, local suppliers and workers, and NCC's shareholders.

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