IndiGrid Completes Acquisition of RInfra Stake in PKTCL for Rs 900 Cr

RInfra has successfully completed the sale of its entire 74 percent equity stake in PKTCL to IndiGrid for an enterprise value of Rs 900 crore

Reliance Infrastructure Limited (RIL) has announced that it has successfully completed the sale of its entire 74 percent equity stake in Parbati Koldam Transmission Company Limited (PKTCL) to India Grid Trust (IndiGrid) for an enterprise value of Rs 900 crore.

Notably, RInfra owned 74 percent in PKTCL located in the state of Himachal Pradesh and Punjab in a joint venture with Power Grid Corporation of India Limited (PGCIL).

“The deal was announced in November 2020 with the signing of a definitive binding agreement between RInfra and IndiGrid and has now been completed with the transfer of shares of PKTCL, and receipt of sale consideration,” the company said in an official statement.

“The total transaction value is Rs 900 crore. The entire sale proceeds are being utilised for debt reduction. RInfra has reduced its total debt liabilities by 6 percent from the deal proceeds,” it added.

With this acquisition, IndiGrid owns 12 operating power transmission assets with a total asset under management (AUM) of over Rs 14,500 crore.

In December 2020, IndiGrid had announced that it had acquired the 100 MW Indian solar portfolio of Madrid-based developer Fotowatio Renewable Ventures (FRV), in a deal worth Rs 660 crore. The KKR-owned Infrastructure Investment Trust (InvIT) had announced that it has signed a securities purchase agreement for the acquisition of 100 percent shareholdings in two SPVs – FRV Andhra Pradesh Solar Farm-I & FRV India Solar Park II – from FRV Solar Holdings.

In September 2020, the firm had completed the acquisition of another transmission asset – Gurgaon Palwal Transmission Limited (GPTL), from Sterlite Power at an enterprise value of Rs 1080 crore. GPTL is part of the Inter-State Transmission Scheme (ISTS) network and consists of three gas-insulated substations (GIS) with a total transformation capacity of 3,000 MVA and ~270 circuit kilometers of 400 KV transmission lines spread across Uttar Pradesh, Haryana and Rajasthan.