AP Govt Gives Interest-Free Extension to Satva Developers
The value of the land allotted to that company in Visakhapatnam would be no less than ₹1,200 crore. It is not just a simple land allotment… under the IT infrastructure scheme, the Andhra Pradesh government is also going to provide this company with large-scale concessions and incentives. What is strange here is that a company that claims it will invest ₹1,500 crore is unable to pay ₹45 crore to the government within the stipulated time. And it is not some small, insignificant company either. Another crucial point is that after securing as much as 30 acres of land in the highly expensive Madhurawada area of Visakhapatnam at the price of just one acre, the company even sought a two-month extension to make that payment as well… and when it wrote a letter saying it would pay the amount without any interest, the Andhra Pradesh government led by Chief Minister Chandrababu accepted it as though it were a great favor. That company is Bengaluru-based Sattva Developers Private Limited. Saying that it would provide employment to 25,000 people, the Andhra Pradesh government issued a Government Order on August 1, 2025, allotting 30 acres of land in Madhurawada to this company at the rate of ₹1.5 crore per acre.
As per this, the company was required to pay ₹45 crore to the government, that is to APIIC, by November 5. However, the company did not make the payment within the stipulated time and instead wrote a letter to the government seeking an additional sixty days… that too to make the payment without any interest. Despite the fact that the Andhra Pradesh government is struggling on one hand to pay salaries to its employees on time and is in a situation where it is forced to borrow just to get through each month, it did exactly as Satva requested. The proposal was placed before the SIPB and approved. Accordingly, the company was allowed to make the payment without any interest or penalty by December 4. The company also took an Extension of Time (EOT) for these payments and made the payment accordingly. The government has now issued orders granting approval for this.
According to market sources, even by a conservative estimate, the price of the 30 acres of land allotted to Satva by the Andhra Pradesh government in Visakhapatnam would be at least ₹1,200 crore. Satva has been permitted to develop not only IT space but also residential space on this land. Even so, the fact that the company sought a two-month extension just to pay ₹45 crore, and that the government approved it, has become a subject of debate. The company will directly sell the residential space, while on the other hand it is set to earn huge profits by leasing the IT space to various companies. It may be recalled that recently Chief Minister Chandrababu Naidu and Minister Nara Lokesh laid the foundation stone for both the Cognizant project and the Satva project in Visakhapatnam.
