Recent Financing

India and overseas

 NHPC raises Rs 5 billion through issuance of bonds through private placement 

NHPC has raised bonds worth Rs 5 billion through private placement of secured, redeemable, taxable, non-cumulative and non-convertible 6.89 per cent NHPC AA-1 Series Bonds. The bonds are proposed for listing at the wholesale debt market segment of the Bombay Stock Exchange and National Stock Exchange.

 JSW Energy to buy GMR Energy’s Kamalanga power plant for Rs 53.21 billion

JSW Energy Limited has entered into an agreement to acquire GMR Energy’s 1,050 MW Kamalanga coal-based power project located in Odisha for Rs 53.21 billion. The transaction will increase JSW Energy’s power generation capacity to 5,609 MW and help GMR pare its debt. The enterprise value of Rs 53.21 billion for the asset includes the takeover of existing debt worth Rs 39.51 billion, and a payment of Rs 13.70 billion to the promoters, of which Rs 7.55 billion would be paid upfront.

 Himachal Pradesh power sector likely to get Rs 31.84 billion World Bank fund

The central government has recommended a financing facility of Rs 31.84 billion for hydropower and renewable power development through the World Bank fund. This financing would come in the form of 90 per cent grant and 10 per cent loan to the Himachal Pradesh government for all the three segments of the power sector. In the generation segment, Rs 16 billion will be invested in the ongoing ShongtongKarchham 450 MW hydroelectric project. The distribution segment will receive a funding of Rs 9.37 billion for the automation and strengthening of the distribution network in 13 different towns of Himachal Pradesh.

 NTPC gets CCI approval to acquire entire stake in NEEPCO and THDC India

The Competition Commission of India (CCI) has given its approval to NTPC Limited for the acquisition of the central government’s entire stake in THDC India and North Eastern Electric Power Corporation Limited (NEEPCO). As part of transactions, NTPC will acquire 100 per cent of the issued and paid-up share capital of NEEPCO and 74.5 per cent stake in THDC India. The remaining 25.5 per cent stake in THDC India is held by the Uttar Pradesh government. In a separate development, the central government has sold 3.12 per cent stake in NTPC through the CPSE ETF, which has reduced the government’s shareholding to 51.02 per cent. The government sold 308.7 million equity shares (3.12 per cent equity stake) in NTPC on February 3, 2020.

 Actis buys 600 MW Acme Solar assets for Rs 30 billion

Global private equity firm Actis has acquired 600 MW of solar energy assets from Acme Cleantech Solutions in a deal valued at Rs 30 billion. Reportedly, Actis has outbid Canadian fund Brookfield in this deal. The equity value of the deal is estimated at Rs 9 billion. The deal is expected to help Acme fund its capacity addition and pay off debt.

 KEC International acquires transmission tower manufacturing facility in Dubai for Rs 1 billion

KEC International Limited, through its arm KEC Towers LLC, has acquired a transmission tower manufacturing facility with a capacity of 50,000 tonnes a year in Dubai for Rs 1 billion during an auction sale conducted by the Emirates Auction Authority. This unit was previously owned by Gulf Jyoti International LLC Dubai, a joint venture of Jyoti Structures, which is currently undergoing insolvency proceedings in India, and the Gulf Investment Corporation of Kuwait.

 CCI approves acquisition of 35 per cent equity stake in TeestaUrja by Greenko Mauritius 

The Competition Commission of India (CCI) has approved the acquisition of 35 per cent equity stake in TeestaUrja Limited (TUL) by Greenko Mauritius, a wholly owned subsidiary of Mauritius-based Greenko Energy Holdings. TUL is a special purpose vehicle incorporated by the Sikkim government for developing the 1,200 MW Teesta Stage-III hydroelectric project in north Sikkim.

 RattanIndia plans to raise Rs 5 billion from lenders to restart Nashik power plant

RattanIndia Power Limited is planning to raise Rs 5 billion working capital from its existing lenders to resume operations at the 1,350 MW Sinnar thermal power plant (TPP) in Nashik, even as its creditors are working on a resolution plan for the debt-laden company. The company has received a letter of intent from Maharashtra State Electricity Distribution Company Limited for a 25-year power purchase agreement to supply 507 MW of power. Commissioned in June 2017, the Sinnar TPP has been shut for the past two years.

AMNS completes acquisition of 500 MW Bhander power unit in Hazira 

AMNS India, a joint venture between Arcelor Mittal and Nippon Steel (AM/NS), has completed the acquisition of the 500 MW Bhander gas-based captive power plant (CPP) in Hazira (Gujarat) from Edelweiss Asset Reconstruction Company. The CPP was commissioned in 2006 by Essar Steel and was purchased by AM/NS India under the Securitisation and Reconstruction of Financial Assets and Enforcement of Securities Interest Act.

 SGCC to spend CNY500 billion on transmission projects (China)

State Grid Corporation of China (SGCC) plans to invest a total of CNY1.2 trillion to improve the power network in the country and stabilise its economic growth in 2020. Of this, about CNY500 billion is planned to be invested in ultra high voltage (UHV) transmission projects to enhance the national grid’s reliability. From 2016 to 2020, about CNY2 trillion was planned for investment in grid projects, including UHV schemes.

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