Adani Transmission sells 25.1% stake in subsidiary for Rs3,220 cr

New Delhi, February 11

Adani Transmission today said it has sold 25.1% stake in its arm Adani Electricity Mumbai Ltd (AEML) to Qatar Investment Authority for approximately Rs 3,220 crore.

“Qatar Investment Authority (QIA) has completed acquisition of 25.10% stake in Adani Electricity Mumbai Ltd (AEML) from ATL (Adani Transmission Ltd) along with an investment in shareholder subordinated debt in AEML on 10 February, 2020,” the transmission and distribution business arm of the Adani Group said in a filing to the BSE.

The total QIA investment in AEML is approximately Rs 3,220 crore, which includes equity consideration of approximately Rs 1,210 crore and shareholder subordinated debt of approximately Rs 2,010 crore, the filing said.

The definitive agreements for the transaction were signed on December 11, 2019, and all requisite approvals were received subsequently.

AEML has recently completed an investment grade, $1 billion bond issuance, the first by a private integrated utility from India. The issue generated significant interest from international investors.

The shares of Adani Transmission were trading at Rs 333.95 apiece on the BSE, up 0.6% from the previous close. — PTI

Deal dynamics

• The total investment of Qatar Investment Authority in Adani Electricity Mumbai Ltd (AEML) is approximately Rs 3,220 crore, which includes equity consideration of approximately Rs 1,210 crore and shareholder subordinated debt of approximately Rs 2,010 crore
• The definitive agreements for the transaction were signed on December 11, 2019, and all requisite approvals were received subsequently
• Adani Electricity Mumbai Ltd has recently completed an investment grade, $1 billion bond issuance, the first by a private integrated utility from India