Reliance Infrastructure's subsidiary Mumbai Metro One Private Limited (MMOPL) has signed a debt restructuring agreement with National Asset Reconstruction Company Limited (NARCL), reducing the metro operator's debt by more than Rs.1,100 crore and paving the way for the withdrawal of insolvency proceedings against the company.

According to a stock exchange filing, the agreement, executed on July 9, covers MMOPL's entire financial liability to NARCL, amounting to Rs.2,771.32 crore. The debt reduction, calculated based on outstanding dues as of March 31, 2026, is expected to significantly strengthen the company's financial position.

MMOPL is a joint venture between Reliance Infrastructure, which holds a 74 percent stake, and the Mumbai Metropolitan Region Development Authority (MMRDA), which owns the remaining 26 percent. The company operates the 11.4-km Versova-Andheri-Ghatkopar Metro Line 1, Mumbai's first metro corridor, which serves nearly 500,000 passengers daily.

Reliance Infrastructure stated that the restructuring agreement will facilitate the termination of insolvency proceedings initiated against MMOPL. The move is expected to improve the metro operator's financial stability, ensuring uninterrupted operations and maintenance of the high-traffic corridor while supporting its long-term sustainability.

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As part of the agreement, NARCL will have the right to nominate one director to MMOPL's board.

Additionally, a monitoring committee, comprising representatives from both NARCL and MMOPL, will oversee the implementation of the restructuring plan. The agreement also incorporates customary lender protections, including restrictions on certain corporate actions without prior approval from the lender.

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Reliance Infrastructure described the restructuring as a significant milestone in resolving MMOPL's debt burden and strengthening the long-term viability of Mumbai's first metro line.

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The company believes the agreement will improve financial resilience, enhance operational efficiency, and enable the metro operator to continue providing reliable public transportation to hundreds of thousands of commuters every day.