The board of directors of Dilip Buildcon Ltd has approved the proposal to divest the company’s stake in its under-construction power transmission and solar assets.
In its meeting of August 10, 2026, the board approved sale of Mekhali Power Transmission Ltd and DBL Renewable Pvt Ltd, the SPVs undertaking the company’s under-construction power transmission and solar projects respectively to Alpha Alternatives Fund Advisors LLP.
The transaction
The combined total project cost is approximately Rs.8,400 crore. The transaction is subject to the execution of definitive agreements, fulfilment of the terms and conditions set out therein, and receipt of requisite regulatory approvals.
The consideration for the transaction will be determined through a phased subscription and closing mechanism, in accordance with the terms agreed between the parties. The definitive agreements for the transaction are yet to be signed.
The SPVs
Mekhali Power Transmission Ltd is engaged in developing, designing and engineering a 400-kilovolt sub-station power transmission project extending to approximately 470 ckm situated in Belagavi District, Karnataka.
DBL Renewable Pvt Ltd is engaged in the development, design and engineering of a 1,363 MW (AC) / 1,977 MWp (DC) solar portfolio, comprising 10 SPVs with solar assets across Madhya Pradesh.
Unlocking value
The divestment represents a value-unlocking opportunity for DBL and is aligned with the company’s strategy of building an asset-light, multi-asset development platform focused on generating recurring cash flows and enabling capital recycling for reinvestment in new opportunities. The transaction also supports the Company’s continued efforts to deleverage and strengthen its balance sheet, while further deepening its existing long-term partnership with Alpha Alternatives.
Supporting India’s infrastructure
Kaushal Biyani, Senior Partner & Head, Private Markets, Alpha Alternatives, said, “This transaction reaffirms our confidence in our strategic partner, Dilip Buildcon, and its strong execution capabilities across infrastructure sectors. We continue to deepen our investment in high-quality, long-term infrastructure assets and see strong growth potential in India’s power and renewable energy sectors. We are committed to supporting India’s infrastructure development while creating sustainable, long-term value for our investors.”
Early capital recycling
Speaking on the development, Devendra Jain, Managing Director & CEO, Dilip Buildcon Ltd, said, “This transaction marks an important milestone in our DBL 2.0 journey as we build a multi-asset infrastructure platform anchored by long-duration, contracted assets. Our partnership with Alpha Alternatives across these transmission and solar projects enables us to recycle capital early in the asset lifecycle, while maintaining our disciplined focus on strengthening our balance sheet and building a more asset-light business.”
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