Qatar Investment Authority has given the approval to buy 25.1% stake in Adani Electricity Mumbai Limited (AEML), a flagship power transmission and distribution company of Adani group. A subsidiary of Qatar Investment Authority (QIA) has signed an agreement with Adani Transmission Ltd (ATL) and Adani Electricity Mumbai Ltd (AEML) for 25.1% stake and shareholder subordinated debt investment by QIA.
Adani Electricity Mumbai Limited is the country’s largest private sector integrated power utility, a wholly-owned subsidiary of Adani Transmission, which currently serves more than 30 lakh consumers across a license area of 400 square kilometres in Mumbai. AEML has a total of 87 per cent market share by license area in Mumbai, caters for 67 per cent by consumers served and 55 per cent by electricity supplied.
Qatar Investment Authority is a 14-year-old sovereign wealth fund of the oil-rich Gulf nation. The total investment of the Qatar Investment Authority has been about Rs 3,200 crore.
Apart from the affirmation on executing plans to ensure that over 30 per cent of the electricity supplied by AEML is sourced from solar and wind power plants by the year 2023, ATL and QIA have also agreed on a number of other green initiatives to combat climate change and facilitate the transition to a sustainable, low carbon economy.
“We are delighted to embark on this partnership with the QIA. Together, we will continue to work towards improving the reliability of supply and consumer satisfaction for over 30 lakh AEML consumers served in Mumbai,” said Adani Group Chairman Gautam Adani.
QIA Chief Executive Officer Mansoor Al-Mahmoud, said, “We look forward to a long-term partnership with the Adani Group, with whom we share an inter-generational perspective on investments and a common vision for the sustainable growth and continued success of AEML. This investment demonstrates our confidence in India, with whom Qatar shares deep-rooted ties and excellent relations.”