Sterlite Grid refinances ?2,450 Crore through Listed NCDs for the MUML Project

08 Jan 2025

Power transmission developer Sterlite Grid 32 announced on Monday that it has successfully refinanced its Mumbai Urja Transmission (MUML) project through the issuance of listed Non-Convertible Debentures (NCDs).

Sterlite Power Transmission's infrastructure business was officially demerged into Sterlite Grid 5 (SGL5) as of October 8, 2024. In a recent development, SGL5 formed a joint venture (JV) with Singapore's GIC, under which all of its transmission projects in India will now be carried out through Sterlite Grid 32 (SGL32).

Sterlite Grid 32 (SGL32) has mentioned the listing of its first Non-Convertible Debenture (NCD) issuance following its joint venture with Singapore's GIC. The NCDs, rated AA+ with a stable outlook by CRISIL Ratings, have garnered strong interest, with the National Bank for Financing Infrastructure and Development (NaBFID) and India Infrastructure Finance Company (IIFCL) emerging as the successful bidders. These NCDs have now been listed on the Bombay Stock Exchange (BSE), marking a significant milestone for the company.

The JV Platform secured the MUML Project in June 2020 through Tariff-Based Competitive Bidding (TBCB), awarding it the responsibility to develop the green energy corridor project under a BOOM (Build, Own, Operate, Maintain) model for a 35-year term. The MUML Project has implemented a transmission system across Maharashtra, Gujarat, Assam, and Arunachal Pradesh, enhancing the Western Region Strengthening Scheme-XIX (WRSS-XIX) and the North-eastern Region Strengthening Scheme-IX (NERSS-IX).

The MUML Project is critical in reinforcing the transmission infrastructure within the Mumbai Metropolitan Region. Once completed, it is expected to deliver an additional 2,000 MW of power to both Mumbai and Navi Mumbai.