QIA picks 25% stake in Adani’s Mumbai power transmission biz
Qatar Investment Authority (QIA), the sovereign wealth fund of Qatar, will invest ₹3,200 crore for a 25.1 per cent stake in Adani Electricity Mumbai Ltd (AEML). The deal also includes subordinated debt investment by QIA in AEML.
Subordinated debt is an unsecured loan that’s paid after all other corporate debts and loans are repaid, in case a borrower defaults.
AEML is into the power distribution, transmission and generation business that serves more than 30 lakh consumers across 400 sq km in Mumbai.
As part of the transaction, Adani Transmission Ltd and QIA have agreed to ensure that over 30 per cent of the electricity supplied by AEML will be sourced from solar and wind power plants by 2023.
