Power News We love to talk!

FEB 13 2018

CCI approves RInfra Rs 18,800cr deal with Adani Transmission

  • Economic Times, ET Bureau / Hyderabad
  • Created: Tue 13th FEB 2018

 

Reliance Infrastructure (RInfra) on Monday said the Competition Commission of India (CCI) has approved sale of its integrated Mumbai power business to Adani Transmission in a 18,800 crore deal.

RInfra and Adani Transmission had signed a definitive binding agreement for 100 per cent stake sale of the integrated business of generation, transmission and distribution of power for Mumbai in December 2017, RInfra said in a statement.

According to the statement, total consideration value is estimated at 18,800 crore. The transaction is expected to be completed by March 2018. RInfra will utilise the proceeds of this transformative transaction entirely to reduce its debt. This is the largest ever debt reducing exercise by any corporate.

This monetisation is a major step in RInfra’s deleveraging strategy for future growth. Reliance Infrastructure’s Mumbai power business (known as Reliance Energy) is India’s largest private sector integrated power utility distributing electricity to nearly 3 million residential, industrial and commercial consumers in the suburbs of Mumbai, covering an area of 400 sq km, it said.

It caters to a peak demand of over 1,800 MW, with annual revenues of 7,500 crore with stable cash flows. RInfra will focus on upcoming opportunities in asset light EPC (engineering procurement and construction) and defence businesses, it added.

 

Tags

TOTAL Adani Enterprise Limited Energy Competition Commission Of India Mumbai Power Electricity India

Related News

  • India and US launch $ 95 million clean energy projects under OPIC financing  Read more
  • Warming up to the idea of more power this summer  Read more
  • NTPC probe blames 3 engineers for Unchahar plant accident  Read more
  • AERC notifies draft regulations for co-generation and other renewable energy sources  Read more
  • Arun Kumar is new Director Finance of PTC India  Read more
  • As coal prices rise, power cos feel the heat with higher cost pressure  Read more
  • States opt to stay in dark rather than buy power & hike tariffs  Read more
  • Uttar Pradesh voters want solar power, reveals survey  Read more
  • Top bureaucrats in fray for chairman post in Oil India  Read more
  • 46 GW power generation capacity lacks last mile connectivity: PHDCCI  Read more