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IndiGrid Issues First AAA Debentures by an InvIT; Completes its First Investment in a Third-party Asset

ENERGIA

MUMBAI, India, September 4, 2018 /PRNewswire/ --

Key Highlights  

IndiGrid, India's first Infrastructure Investment Trust ("InvIT") in the power sector, successfully completed an investment in Patran Transmission Company Limited ("PTCL"). This is IndiGrid's first investment in a third-party asset. IndiGrid had earlier signed definitive agreements with Techno Electric for the transaction in February 2018.

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The acquisition was done entirely through internal accruals and available debt headroom. IndiGrid placed AAA rated debentures of INR 2.5 billion via the e-bidding platform of BSE, making it the first ever bond issuance by an InvIT. Post the placement, IndiGrid's net debt to AUM stands at 47%.  

Commenting on the acquisition Mr. Harsh Shah, CEO and whole-time Director, said, "Since listing last year, IndiGrid has expeditiously grown its portfolio of operational power transmission assets with low counterparty risks and long-term cash flows. This is the fourth value accretive acquisition in the last twelve months and is in line with IndiGrid's target of reaching 12% portfolio equity IRR. IndiGrid remains on track to achieve its stated distribution per unit (DPU) guidance of INR 12.0 for FY19."

About the asset: 

PTCL project consists of a 1000 MVA, 400/220 KV substation with 14 bays and LILO of both circuits of Patiala-Kaithal 400 kV double circuit triple snow bird line. This inter-state project was awarded on a perpetual basis on Build, Own, Operate and Maintain model through competitive bidding. PTCL has a long residual contractual life of about ~33years and is operating under the Point of Connection mechanism in India.

About IndiGrid: 

IndiGrid [BSE: 540565 | NSE: INDIGRID] is the first Infrastructure Investment Trust ("InvIT") established to own power transmission assets in India. IndiGrid owns 16 independent revenue-generating elements, including 13 transmission lines of 3,361 ckms and 3 substations of 7,000 MVA capacity across 9 states in India.

For more details, please visit http://www.indigrid.co.in

Contacts:Media: corpcomm@indigrid.co.inInvestor Relations: Investor.relations@indigrid.co.in

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