Power transmission developer Sterlite Grid 32 said on Monday that it has successfully refinanced its Mumbai Urja Transmission (MUML) project using listed Non-Convertible Debt (NCD).

The infrastructure business of Sterlite Power Transmission was demerged into Sterlite Grid 5 (SGL5) effective October 8, 2024. SGL5 recently entered into a Joint Venture (JV) with GIC of Singapore, following which it will execute all its transmission projects in India through Sterlite Grid 32 (SGL32).

“This is the first Listed NCD issuance of Sterlite Grid 32 after its Joint Venture with GIC of Singapore. The NCDs are rated AA+ stable by CRISIL Rating. The National Bank for Financing Infrastructure and Development (NaBFID) and India Infrastructure Finance Company (IIFCL) emerged as the successful bidders to the NCDs, which has been listed on the BSE,” SGL32 said.

The JV Platform won the MUML Project in June 2020 through Tariff-Based Competitive Bidding (TBCB) to execute the green energy corridor project on a BOOM (build, own, operate, maintain) basis for 35 years.

The MUML Project has established a transmission system covering the western region strengthening Scheme-XIX (WRSS-XIX) and the northeastern region strengthening Scheme-IX (NERSS-IX) in Maharashtra, Gujarat, Assam, and Arunachal Pradesh.

The MUML Project is critical for strengthening the transmission system in the Mumbai Metropolitan Region. It has the potential to carry more than 2,000 megawatts (MW) of additional power to Mumbai and Navi Mumbai.

SGL32 Director Pratik Agarwal said, “This initiative is not merely a financing success but a stepping stone to our future financing strategy. This transaction has helped us diversify from its traditional sources of debt financing to debt capital market financing. The JV now has access to stronger alternative source of funds.”

The closure of ₹2,450 crore funding manifests confidence in India’s rapidly expanding renewable power sector. MUML will play a critical role in this mega transmission project that will facilitate the evacuation of 20 GW of renewable energy from Rajasthan.