2024-12-16 22:24:37 :
Sterlite Power, owned by Vedanta Ltd, has raised funds $Rs 725 crore from domestic and foreign investors was used to fuel its expansion plans. The company said in a news release on Monday that it plans to use the funds to increase production capacity, new product development and international market expansion.
Sterlite Power raised funds from US-based GEF Capital Partners and Mumbai-based private equity firm ENAM Holdings.
“The funds will be used for continued capital expenditure expansion and to drive strategic growth plans by increasing production capabilities, accelerating new product development and expanding presence in key international markets,” the statement said.
Pratik Agarwal, Managing Director of Sterlite Power Transmission, said the investment is aimed at providing innovative and reliable power solutions to support India’s energy transition.
“Decarbonizing the transmission network is a key part of the transition to a low-carbon economy. In addition, the growth of renewable energy requires the modernization and upgrade of the transmission network. We are delighted to work with Sterlite Power and support their portfolio of efficient and reliable products that will Improve the efficiency of power transmission,” said Alipt Sharma, partner at GEF Capital Partners LLC, in a statement.
Axis Capital serves as the financial advisor and Khaitan & Co serves as the legal advisor for this fund transaction.
Sterlite Power exports power conductors, extra-high voltage cables and OPGW conductors to organizations in more than 40 countries around the world, according to the company’s LinkedIn profile.
As part of the demerger, Sterlite Power’s global products and solutions business will become an independent company from October 2024. It’s the power transmission company’s first financing since then.
According to the release, the demerged Sterlite Power Transmission will now carry out the power capital goods business, including cables, conductors and professional services, while the Sterlite Grid 5 Limited business will be responsible for the transmission concession business.
Vedanta shares closed down 1.12% $It was 513.40 on Monday, compared with $The previous market close was 519.70.
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