IndiGrid to Acquire Sterlite Power’s GPTL Transmission Project for Rs 1080 Cr

The board of IndiGrid has approved the acquisition of Gurgaon Palwal Transmission Limited (GPTL) from Sterlite Power at a value of Rs 1080 crore

IndiGrid Transmission

The board of IndiGrid Trust has approved the acquisition of Gurgaon Palwal Transmission Limited (GPTL) from transmission firm Sterlite Power at a value of Rs 1080 crore and is planning to add solar energy projects going forward.

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 kilometres of 400 KV transmission lines spread across Uttar Pradesh, Haryana, and Rajasthan.

This acquisition would increase the assets under management of IndiGrid by 10 percent to Rs 13300 crore and increase the company’s portfolio to ten power transmission projects with a total network of 25 power transmission lines and 7 substations.

“GPTL acquisition is in line with our strategy for acquiring transmission projects to grow returns for unit-holders. Over the last 12 months, we have raised Rs 2510 crore of capital via preference issue and acquired Rs 7500 crore worth of transmission assets,” Indigrid Chief Executive Officer Harsh Shah said.

Further, IndiGrid intends to acquire solar projects with robust power purchase agreements, operational track record and financially strong counter-parties or off-takers. In addition to long contract life and low-risk cash flows, solar projects complement transmission portfolio with synergies on operations and regulatory establishments, stated Shah. With the operational and financial synergies, such diversification will result in additional accretion for unitholders while maintaining an AAA-rated cash flows to unit-holders.

We believe that the solar energy sector in India has matured and our proposed diversification in solar energy projects would result in improved returns to unitholders, added Shah.

In March, we had reported that IndiGrid had acquired the East North Interconnection Company Limited Transmission Company Limited (ENICL), from Sterlite Power at a value of USD 134 million. ENICL is a part of the Inter-State Transmission System (ISTS) network developed by Sterlite Power. It consists of two 400 KV transmission lines with a total of ~ 900 circuit kilometers across Assam, Bihar and West Bengal.

"Want to be featured here or have news to share? Write to info[at]saurenergy.com

Ayush Verma

Ayush is a staff writer at saurenergy.com and writes on renewable energy with a special focus on solar and wind. Prior to this, as an engineering graduate trying to find his niche in the energy journalism segment, he worked as a correspondent for iamrenew.com.

      SUBSCRIBE NEWS LETTER
Scroll