OPEN APP
Home >Companies >News >‘Will give 7,100 cr from arbitration award to repay debt’

Reliance Infrastructure Ltd will receive 7,100 cr from the Delhi Metro Rail Corporation Limited (DMRC), which it will use to repay debt and to make the company debt-free, chairman Anil Ambani said on Tuesday during an annual general meeting (AGM) of the company.

Last week, the Supreme Court upheld an arbitral award in favour of Reliance Infrastructure arm Delhi Airport Metro Express Private Limited, which operates the Delhi Airport Metro Line, and against DMRC.

“There are regulatory assets worth 50,000 crore under approval/dispute before various forums for power distribution business, BSES Delhi and erstwhile GTD in Mumbai," Ambani said. Further arbitration claims pending before various forums amount to 15,000 crore, he informed.

Ambani has increased his stake in Reliance Infra through a preferential issue of more than 550 crore comprising 8.88 crore warrants of 62 each, convertible into equity, to increase the promoter holding to 22.06%.

During the last year, Reliance Infra completed 100% stake sale of Delhi Agra Toll Road to Cube Highways and Infrastructure III Pte Ltd for 3,600 crore.

It sold its entire 74% stake in Parbati Koldam Transmission Company Limited to India Grid Trust for an enterprise value of 900 crore and sold the commercial property at Santacruz under a composite transaction for sale, buyback, and lease of the property. These transactions have resulted in debt reduction by 35%.

Reliance Infra said its new growth engine will be the power distribution business as the new electricity Act will open up a plethora of opportunities, as well as new contracts in the engineering procurement and construction business and defence manufacturing business.

 

Subscribe to Mint Newsletters
* Enter a valid email
* Thank you for subscribing to our newsletter.

Never miss a story! Stay connected and informed with Mint. Download our App Now!!

Close
×
Edit Profile
My ReadsRedeem a Gift CardLogout