Sterlite Power secures ₹ 305 crores for Kishtwar transmission project

Aseem Infrastructure Finance Limited (AIFL), an NBFC – IFC (Infrastructure Finance Company), was founded with the goal of playing a transformative role in the growth of Indian infrastructure debt financing. This milestone ensures the financial closure of the Kishtwar project, ensuring its smooth execution and operations.
Sterlite Power, a leading power transmission developer and solutions provider in India and Brazil, has completed financial closure on its Kishtwar Transmission Limited (KTL) project in Jammu and Kashmir. It has successfully secured INR 305 Crores in debt funding from Aseem Infrastructure Finance Ltd., an NBFC-IFC (Infrastructure Finance Company) promoted by the Strategic Opportunity Fund (SOF) of the National Investment and Infrastructure Fund (NIIF), with anchor investments from the Government of India and Sumitomo Mitsui Banking Corporation of Japan (SMBC).
In December 2022, Sterlite Power acquired the KTL SPV to carry out the interstate transmission system project. The project entails building a transmission system that includes a 400/132 kV GIS substation in Kishtwar and a 400 kV transmission line from Kishenpur to Dulhasti. The transmission system will help move 1000 MW of power from the Pakaldul Hydroelectric Project to the Kishtwar substation.
Apart from increasing power flow, it will also help to decongest the region’s downstream networks, improving the quality and reliability of power flow in the Kashmir valley.
Commenting on the financial milestone, Akshay Hiranandani, Executive Director-Corporate Finance, Sterlite Power, said, “We are pleased to conclude this deal with Aseem Infrastructure Finance Limited in record time. We are proud to play a role in providing reliable power and building a secure energy future for J&K. This will be our second project in the region after delivering the mega NRSS Kashmir project ahead of schedule.”
Virender Pankaj, CEO, Aseem Infrastructure Finance Ltd., said: “Aseem Infra is glad to have supported Sterlite Power by providing long-term debt financing for the Kishtwar project, which would contribute immensely to the infrastructure growth story of J&K. The debt solution was structured in a manner so as to balance the unique requirements of all the stakeholders involved while delivering a swift TAT. In line with its vision to help create a futuristic India through transformative infrastructure financing, Aseem has been making rapid strides, as reflected in its high-quality asset book crossing the ₹10,000 Crores mark in just 25 months of operations.”
Sterlite Power has a strong track record of successfully completing complex projects and has set new industry benchmarks through the use of cutting-edge technologies and innovative financing. Despite the weak market conditions caused by the pandemic, the company has been successful in forging relationships with India’s leading financial institutions, demonstrating the banking and investor communities’ continued trust in the company.