IndiGrid to acquire solar, transmission assets for ₹2,108 crore

IndiGrid, a power sector infrastructure investment trust (InvIT), announced the execution of definitive agreements to acquire one solar and one transmission asset, aggregating to an Enterprise Value (EV) of about ₹2,108 crore, excluding any net working capital and cash adjustments. 
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IndiGrid, a power sector infrastructure investment trust (InvIT), announced the execution of definitive agreements to acquire one solar and one transmission asset, aggregating to an Enterprise Value (EV) of about ₹2,108 crore, excluding any net working capital and cash adjustments. 

Inclusive of the adjustments the EV will not exceed ₹2,175 crore, IndiGrid said in a statement.

The solar asset, Renew Solar Aayan Private Ltd (RSAPL), is a 300 MW (AC) operational project located in Barmer, Rajasthan. The transmission asset, Koppal Narendra Transmission Ltd (KNTL), is a Build-Own-Operate-Maintain (BOOM) Inter-State Transmission System (ISTS) project located in Karnataka. 

Subject to regulatory and contractual approvals, IndiGrid will acquire 100% shareholding and management control of both assets, in line with the provisions of the definitive and concession agreements and the Power Purchase Agreement (PPA), including lock-in obligations therein.

Harsh Shah, Managing Director, IndiGrid, said,” These acquisitions align with our long-term strategy to participate meaningfully in this transformation by owning and operating essential infrastructure that supports grid stability and energy access. 

“RSAPL and KNTL are both high-quality operational assets that deepen our presence in key geographies and enhance our portfolio’s diversification and are DPU accretive,” he said. 

“As the sector continues to evolve, IndiGrid remains focused on building a future-ready platform that supports the nation’s energy ambitions while delivering sustained value to our unitholders,” he added. 

This acquisition will be funded through a combination of equity, internal accruals, and debt. The net debt/AUM will be 62% post this acquisition, leaving adequate headroom for future growth.