Spokesperson of Reliance Infrastructure Limited said “We have received sanctions of around Rs 1,200 crore although we would raise Rs 970 crore of debt. The project has achieved financial closure by less than three months of the transmission agreement it had signed with Power Grid Corporation.”
RPTL’s INR14 billion western region transmission project will be financed by State Bank of India-led consortium of financial institutions. On May 21, 2009, RPTL is expected to declare financial closure of the project.
State Bank of India will provide INR3 billion in finances for the project. The other consortium members include State Bank of Hyderabad, Vijaya Bank, India Infrastructure Finance Company, United Bank, South Indian Bank, Andhra Bank, State Bank of Bikaner and Jaipur and Bank of Maharashtra.
The loan’s yearly average interest rate is estimated at 12.25% for 12 years.
The firm has entered into power transmission agreement with distribution units in Gujarat, Madhya Pradesh, Maharashtra, Goa, Chhattisgarh, Dadra & Nagar Haveli and Daman & Diu.
