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Reliance Infra in exclusivity talks with Adani Transmission
The proposed transaction is subject to confirmatory diligence, definitive documentation and customary approvals.
New Delhi: Reliance Infrastructure has entered into a period of exclusivity with Adani Transmission for proposed sale of its integrated business of generation, transmission and distribution of power for Mumbai.
In a regulatory filing today, Reliance Infrastructure said, "It has entered into a period of exclusivity until January 15, 2018, in relation to discussions for the proposed sale of its integrated business of generation, transmission and distribution of power for Mumbai city to Adani Transmission."
The proposed transaction is subject to confirmatory diligence, definitive documentation and customary approvals.
"Accordingly, there can be no certainty that a transaction will result. Further announcements will be made at an appropriate stage," Reliance Infra added.
The Anil Ambani-led Reliance Infra intends to utilise the proceeds of the proposed transaction entirely to reduce its debt and further strengthen its financial position to tap mega growth opportunities in defence and EPC (engineering, procurement, construction) for the infrastructure sector.
According to Adani Transmission, the proposed transaction will strengthen its footprint in the power transmission sector and also mark its foray into the distribution space.