Joint venture led by JSA and CAM closes $2.65 billion deal in Indian power sector
In a significant move, Adani Enterprises has announced the acquisition of Reliance Infrastructure's Mumbai power business, valued at 188 billion rupees ($2.65 billion). This high-profile transaction saw several prominent legal and consulting firms involved, with Cyril Amarchand Mangaldas taking the lead for Adani Enterprises.
Ramanuj Kumar, a managing partner at Cyril Amarchand Mangaldas, led the financing for the acquisition. Anshuman Sakle from the same firm advised on competition law for the deal, while Aarti Joshi handled the due diligence. The competition law team was headed by partners Amitabh Kumar and Vaibhav Choukse.
The sale includes Reliance Infrastructure's generation, transmission, and distribution business. Adani Transmission Ltd, a power distribution arm of Adani Enterprises, will pay an initial 132.51 billion rupees, with additional 55.50 billion rupees to be paid at a later date based on certain approvals.
Meanwhile, the JSA team, led by joint managing partner Dina Wadia and partner Manav Raheja, advised Reliance Infrastructure on the sale.
L&L Partners was the sole legal counsel to the consortium of lenders who funded the acquisition and refinancing of Reliance Infrastructure's debt. The L&L Partners team was led by partners Bikash Jhawar and Rohit Raghavan.
As for Reliance Group's future plans, they aim to invest an undisclosed amount in their aerospace defense manufacturing business and engineering, procurement, and construction businesses. However, specific details about the investment amount have not been disclosed.
This acquisition marks a significant step for both Adani Enterprises and Reliance Infrastructure, and it will be interesting to see how this development unfolds in the coming days.
Adani Transmission Ltd, a power distribution arm of Adani Enterprises, is part of the finance sector, as it will be paying for the acquisition of Reliance Infrastructure's Mumbai power business. The business realm, including energy and finance, will be impacted by this deal as Adani Enterprises expands its power business through this acquisition. Ramanuj Kumar, a managing partner at Cyril Amarchand Mangaldas, played a key role in the financing for this deal, highlighting the importance of law firms in facilitating large business transactions.
