Home / Industry / Infrastructure /  L&T to sell its entire 51% stake in L&T IDPL to Epic Concesiones

Larsen & Toubro on 19 December said that it signed an agreement to divest its 51 percent stake in L&T Infrastructure Development Projects Limited (L&T IDPL) to Epic Concesiones Private Limited.

Epic Concesiones is a portfolio company of Infrastructure Yield Plus II, an infrastructure fund managed by Edelweiss Alternatives. 

Earlier, Canada Pension Plan Investment Board (CPP Investments) had announced that it would sell its entire 49 percent in L&T IDPL. L&T IDPL is a joint venture between L&T and CPP Investments holding 51 percent and 49 percent shares respectively.

Speaking on this, Mr. DK Sen, Whole-time Director and Sr. Executive Vice President of Developmental Projects said, “This development is a significant step towards the execution of our strategic Lakshya 2026 plan and houses L&T IDPL with Edelweiss Alternatives, an established and reputed alternatives platform with a better strategic fit."

"The transaction is a win-win for both L&T and Edelweiss. It will release growth capital for the L&T Group. Also, it will provide Edelweiss Alternatives with access to a good quality portfolio of assets," he further added.

This comes after, Epic Concesiones acquired 100 percent equity stake in L&T IDPL for an enterprise value of about 6,000 crore.

As per release by Edelweiss Alternatives, the portfolio comprises eight roads and one power transmission asset in India, spanning 4,900 lane-km and 960 ckms, respectively. The transaction is subject to customary closing conditions including applicable regulatory and other approvals.

“Following this acquisition, the infrastructure platform will scale up to 26 assets with cumulative annual revenue of nearly 2,700 crore. The platform will be a diverse mix of power transmission and substations, renewables and highway assets spread geographically," the company had said in a statement.

“This acquisition is in line with the infrastructure yield strategy to generate regular distributions for investors by acquiring quality operating infrastructure assets with strong cash flows and unlocking value through active asset management," it had added.

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