Sterlite Power Transmission Ltd (Sterlite Power) has successfully completed the full transfer of its residual ownership in IndiGrid.
In a release, Sterlite Power announced the successful sale of its remaining shareholding constituting 26 per cent of the equity shareholding in IndiGrid Investment Managers Ltd (IIML) to Electron IM Pte Ltd (Electron).
IIML is the investment manager of India Grid Trust (IndiGrid) while Electron is an affiliate of KKR & Co.
“The ownership transfer has been effected as per the amended and restated shareholders agreement entered between Sterlite Power and Electron, dated August 4, 2020,” Sterlite Power said.
Post this transfer, Electron will hold 100 per cent equity shareholding in IIML.
Sterlite Power added that it will continue its collaboration with IndiGrid and KKR to support infrastructure development in the country.
Also read: IndiGrid Completes Acquisition Of Kallam Transmission Ltd
Background
It may be recalled that Sterlite Power was the original sponsor of IndiGrid – India’s first infrastructure investment trust (InvIT) in the power sector. IndiGrid made its initial public offer in 2017 and subsequently got listed on stock exchanges, on June 6, 2017. In August 2020, Sterlite Power sold some of its equity stake in IndiGrid and exited its role as the sponsor of the InvIT. With the current development, the decoupling of Sterlite Power from IndiGrid is now complete. It may also be mentioned that in June 2020, capital market regulator issued guidelines that allowed sponsors to exit from an InvIT after the minimum lock-in period of three years, from the date of listing.
Featured photograph (source: IndiGrid) shows a component of the East North Interconnector project, which is part of IndiGrid’s portfolio of power transmission assets.