Infrastructure India plc Conditional Disposal (2153V)
April 04 2023 - 2:00AM
UK Regulatory
TIDMIIP
RNS Number : 2153V
Infrastructure India plc
04 April 2023
4 April 2023
Infrastructure India plc
("IIP" or the "Company" or, together with its subsidiaries, the
"Group")
Conditional Disposal of Indian Energy Limited
Infrastructure India plc, an AIM quoted infrastructure fund
investing directly into assets in India, announces that it has
entered into a conditional agreement ("Agreement") for the disposal
of Indian Energy Limited ("IEL") to FA Power Renewables Private
Limited ("FA Power") for a total aggregate consideration of
approximately USD 4.0 million.
IEL is an independent power producer that owns and operates wind
farms at two sites in the states of Karnataka and Tamil Nadu, with
41.3 MW of installed capacity.
Further to the Company's announcements of 28 February 2022 and
periodically thereafter, the transaction originally executed with
AVSR Constructions ("AVSR") has been cancelled due to AVSR's
inability to settle the consideration due in respect of the
transaction. As previously announced, IIP had commenced discussions
with other interested parties for the sale of IEL.
FA Power is an independent power producer headquartered in
Bangalore. Under the terms of the Agreement, FA Power shall pay an
up-front exclusivity fee of USD 150,000 to IIP (the "Exclusivity
Fee"). The Exclusivity Fee is non-refundable, save for limited
circumstances where IIP does not fulfil its obligations under the
Agreement. The exclusivity period is 60 business days, or a mutual
timeline agreed, for IIP to meet certain conditions precedent in
the Agreement and for a definitive share purchase agreement to be
completed. The transaction contemplates the purchase by FA Power of
100% of the shares of Indian Energy (Mauritius) Limited, a wholly
owned subsidiary of IIP. In addition, the net current assets, prior
to receipt of the exclusivity fee, will be to IIP's benefit. The
total aggregate consideration comprises the Exclusivity Fee, a
further cash payment to IIP of USD 2.279 million prior to end of
the exclusivity period, and IEL's cash and receivables (estimated
at c. USD 1.6 million).
The Board believe that the structure of the transaction, being
the acquisition of IIP's wholly owned subsidiary, and a mutual
desire to complete the transaction swiftly, is in the interests of
IIP's shareholders. Completion of the transaction is subject to a
number of conditions therefore there can be no guarantee that the
disposal will complete.
IEL was valued at GBP5.5 million in IIP's unaudited interim
results for the period ended 30 September 2022.
The Company's creditors remain supportive, and it is expected
the consideration due to the Company from the sale of IEL will be
partially utilised towards settlement of such creditors. As
previously announced, the Board remains in discussions with third
parties regarding the sale of assets, including Distribution
Logistics Infrastructure Limited, and further announcements will be
made as and when appropriate.
The information contained within this announcement is deemed by
the Company to constitute inside information as stipulated under
the Market Abuse Regulation (EU) No. 596/2014 as it forms part of
United Kingdom domestic law by virtue of the European Union
(Withdrawal) Act 2018 (as amended).
- Ends -
Enquiries:
Infrastructure India plc www.iiplc.com
Sonny Lulla Via Novella
Strand Hanson Limited
Nominated Adviser
Richard Johnson / James Dance +44 (0) 20 7409 3494
Singer Capital Markets
Broker
James Maxwell - Corporate Finance
James Waterlow - Investment Fund Sales +44 (0) 20 7496 3000
Novella
Financial PR
Tim Robertson / Safia Colebrook +44 (0) 20 3151 7008
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms
and conditions, to analyse how you engage with the information
contained in this communication, and to share such analysis on an
anonymised basis with others as part of our commercial services.
For further information about how RNS and the London Stock Exchange
use the personal data you provide us, please see our Privacy
Policy.
END
DISIJMFTMTMMBJJ
(END) Dow Jones Newswires
April 04, 2023 02:00 ET (06:00 GMT)
Infrastructure India Plc... (AQSE:IIP.GB)
Historical Stock Chart
From Sep 2024 to Oct 2024
Infrastructure India Plc... (AQSE:IIP.GB)
Historical Stock Chart
From Oct 2023 to Oct 2024