|Press Release for Sale of KEC International’s holding in its subsidiary KEC Bikaner Sikar Transmission Pvt. Ltd.|
Mumbai, November 03, 2018: KEC International Ltd. has today signed a Share Purchase Agreement (SPA) with Adani Transmission Ltd. for selling its entire stake in KEC Bikaner Sikar Transmission Private Ltd. at an Enterprise Value of ~ Rs.227.5 Crore, subject to regulatory and other approvals.
KEC Bikaner Sikar Transmission Private Ltd. is having an operational transmission line of 344 ckt. Kms in the state of Rajasthan from Bikaner to Sikar.
This sale is in line with KEC’s strategy to focus on its core EPC business.
Brief Overview of the Asset:
KEC Bikaner Sikar Transmission Private Ltd. holds a minimum 25 years concession license to operate and maintain a 400 kV D/C Bikaner- Sikar Line of 344 Ckt kms in Rajasthan. The project was awarded through competitive bidding process and was physically completed almost four months ahead of schedule by KEC International Ltd. The line was commissioned in December, 2017 and since then has been in successful operation.
Mr. Vimal Kejriwal, MD & CEO, KEC International Ltd commented, “We are happy to inform that in line with our strategy of being an asset light company focused on providing turnkey services to infrastructure sector, we have decided to sell our holding in KEC Bikaner Sikar Transmission Private Ltd. to Adani Transmission Ltd.
With the successful construction and ahead of schedule commissioning of the Bikaner Sikar Transmission Line, KEC has further strengthened its presence in the Tariff Based Competitive Bidding space, the pre-qualifications and experience of which will be leveraged for securing similar upcoming opportunities in India. ”
About KEC International Limited
KEC International is a global infrastructure Engineering, Procurement and Construction (EPC) major. It has presence in the verticals of Power Transmission and Distribution, Railways, Civil, Solar, Cables and Smart Infrastructure. Globally, the Company has delivered infrastructure projects in 64 countries. It is the flagship Company of the RPG Group.
About RPG Enterprises
RPG Enterprises, established in 1979, is one of India's fastest growing business groups with a turnover of Rs.23000 Cr. The group has diverse business interests in the areas of Infrastructure, Tyres, Pharma, IT and Specialty as well as in emerging innovation led technology businesses.