Business & Finance
Metro Operators Turn to Naming Rights and Corporate Deals to Fund Infrastructure
Metro operators are increasingly seeking non‑fare revenue through station naming rights, advertising spaces, retail outlets and corporate partnerships. InMobi’s recent agreement to secure naming rights for Bengaluru’s Ibbaluru metro station exemplifies this trend. Mint explains why operators are looking beyond fares, how much companies pay, and the opportunities available.
Why are operators looking beyond fares? Metro rail projects require large capital for construction, operation and maintenance. Passenger fares alone often fall short of covering these costs. Naming rights and corporate partnerships provide a way to raise funds without relying solely on government funding, loans or fare increases. The money can support network expansion and improve last‑mile connectivity.
Bengaluru Metro Rail Corp. Ltd (BMRCL) has developed a financing model in which companies contribute to station construction or connectivity infrastructure in exchange for long‑term branding and access rights. BMRCL is reportedly in discussions with five corporate firms to mobilise ₹460 crore through this programme.
What do companies receive? They gain the right to associate their brand with a metro station for a specified period, usually by adding the brand name as a prefix or suffix to the station’s existing name. In Bengaluru, BMRCL’s partnership model includes ₹65 crore for naming rights over 30 years, ₹25 crore for advertising and commercial space within the station, and ₹10 crore for direct access infrastructure such as a walkway connecting a station to a corporate campus.
How much do other cities charge? In Mumbai, the Mumbai Metro Rail Corp. (MMRC) awarded naming rights for five Metro 3 stations to Kotak Mahindra Bank, ICICI Lombard and LIC for a cumulative ₹216 crore over five years, with a 5% annual escalation in 2022. Kochi Metro Rail Ltd (KMRL) set annual co‑branding fees at ₹52 lakh for Ernakulam South, ₹42 lakh each for MG Road, Vyttila, Kaloor and Maharaja’s College, ₹37 lakh for Kadavanthra and ₹30 lakh for Tripunithura Terminal, according to The New Indian Express in May 2025.
Which companies have signed agreements? In Bengaluru, Prestige Group’s station agreement for Bellandur is valued at ₹80 crore, with an additional ₹10 crore linked to an exclusive pedestrian skywalk. Infosys Foundation and Embassy Group each contributed ₹100 crore for Konappana Agrahara and Kadubeesanahalli stations, respectively, while Biocon contributed ₹65 crore for Hebbagodi. In Mumbai, Atharva University has acquired the naming rights of the Valnai Meeth Chowky Station, and Arkade Developers Ltd. has acquired naming and branding rights for Bangur Nagar Metro Station, among others.
Why do corporates invest in station branding? A metro station offers repeated visibility in a specific location to a largely captive audience of daily commuters, helping brands build familiarity over time, especially in neighbourhoods where they have a large office, commercial development or customer base. For technology and real estate companies along Bengaluru’s Outer Ring Road, station partnerships also provide practical benefits such as improved access to campuses, potentially easing commutes for employees and visitors. Additionally, companies can position their contributions as investments in public infrastructure rather than merely advertising expenditure.
Frequently asked questions
How much money is BMRCL seeking through naming rights?
BMRCL is reportedly in discussions with five corporate firms to mobilise ₹460 crore through this programme.
What does a company receive by purchasing naming rights at Bengaluru?
They gain the right to associate their brand with a metro station for a specified period, usually by adding the brand name as a prefix or suffix to the station’s existing name.
What are the naming rights fees in Mumbai?
In Mumbai, the Mumbai Metro Rail Corp. awarded naming rights for five Metro 3 stations to Kotak Mahindra Bank, ICICI Lombard and LIC for a cumulative ₹216 crore over five years, with a 5% annual escalation in 2022.